Claiming a Capital Loss

[Robbie29]

My college aged daughter did not receive a W-2 in 2023, but received a 1099-INT, 1099DIV and 1099B. In 2023 she had a Captial Gain/Loss of -$8000. 1) Can I file taxes for her if she didn't receive a W-2? 2) If she doesn't file taxes this year can she still claim the loss in future years?  Thanks for the assistance!

[KrisD15]

No, if your daughter is your dependent, she files her own return claiming the interest income. 

If there is any loss carry-over, she will get the loss carryforward. 

She needs to select "Yes, someone else can claim me" and "Yes, someone else will claim me".

You cannot claim her loss on your return. 

[Robbie29]

Thanks KrisD15. This will be the first year she is filing taxes, so does it make a difference if I claim her as a dependent since I no longer itemize (I take the standard deduction)?  Appreciate any and all assistance!  Thank you. Robbie29

[nishamarshalll]

Hello

Yes, even if your daughter did not receive a W-2, you are still able to submit her taxes. You can report her income using the details from the 1099 documents she received.
Your daughter can still use the capital loss to offset capital gains in subsequent years even if she chooses not to file taxes this year. It's crucial to confirm, nevertheless, that she satisfies all conditions in order to be eligible to submit a capital loss claim in the future.

Regards

Nisha Marshall

Prestige Camden Gardens