Capital Loss Carry-Forwards

Investors that have capital loss carry-forwards can use capital gains from flow-through investments to offset their capital loss carry-forwards.

What is a Capital Loss?

A capital loss is the result of selling an investment (capital property) at less than the purchase price or adjusted basis and capital loss carry-forwards are a result of capital losses exceeding capital gains in any given year. Any expenses from the sale are deducted from the proceeds and added to the loss.