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Hi!

Here's my understanding of tax loss carryovers, based on the Fool's Investment Tax Guide:

Capital losses can be used to first offset any gains, then up to $3000 again ordinary income, using Schedule D. Any unused loss is carried over into the next year. Next year, same deal applies -- use the loss to offset any gain, then use $3000 against ordinary income, and carry over the rest into the year after next.

Oh, BTW, I am aware that I need to distinguish between short-term and long-term losses -- for offsetting gains and the need to "use up" my short-term losses to offset the $3000 before I can use the long-term losses.

Could someone please confirm this? Thanks!
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