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LSDefine

Simple English definitions for legal terms

loss carryover

Read a random definition: waiver of counsel

A quick definition of loss carryover:

A loss carryover is when someone has a year where they lost money on their taxes, and they can use that loss to lower their taxes in future years when they make money. This helps them save money on taxes and can increase their income in the future. Different types of losses can be carried over for different amounts of time, but only losses that were actually realized can be carried over, meaning they have to have been sold or gotten rid of in some way.

A more thorough explanation:

A loss carryover, also known as a loss carryforward, is when a taxpayer carries over a tax loss from one year to future years to offset a profit. This means that if a taxpayer has a capital gain that is smaller than their capital loss in a tax year, or if their expenses are greater than their revenue in a tax year, they will suffer a loss. Under the Internal Revenue Code, losses can be allowed as a deduction with limitations. If the loss is greater than the amount allowed by the tax deduction, it can be carried over to the following years. This creates a future tax relief, which essentially increases the income of a future year.

For example, let's say a taxpayer has a capital loss of $10,000 in one tax year, but the maximum amount allowed as a deduction is only $3,000. The remaining $7,000 can be carried over to the following years to offset any future profits.

It's important to note that only realized losses can be carried forward. This means that if a property loses its market value, but the taxpayer did not sell the property and realize the loss, the loss cannot be carried over.

Different types of loss can be carried over for different numbers of years. For example, net operating losses can be carried forward for up to 20 years to a year in which the taxpayer has a profit. Most states also have their own rules regulating the available period for carryover.

loss | loss damage waiver (LDW)

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windyMagician
11:26
call that restorative justice
11:35
they put a place in the UK second. I don’t trust their methodology
shaquilleoatmeal
11:35
im laughin cause it definitely isnt but the fact that some people this it is is comical
shaquilleoatmeal
11:35
tink*
shaquilleoatmeal
11:35
think jee
shaquilleoatmeal
11:35
jeez - im over it
11:37
imagine saying you want to go to boston for christmas 💀
shaquilleoatmeal
11:40
imagine you not wanting to go what lmao
13:55
not impressed by the fact that they have a park and some buildings. who doesn't
soap
15:04
Manifesting a GPA boost with the end of this semester
CynicalOops
15:13
Colorado mentioned
CynicalOops
15:18
Wait does boston have one of those long ice rinks
CynicalOops
15:18
Those are fun
15:23
what if I started flexing again
15:24
that might be too much
15:33
can we see ur mod badge?
15:41
just for u sweetie pie
15:43
woah so much swagger with dat 'm;
Dkk
15:47
@shaquilleoatmeal: more like, blow my back out by the bay boston instead of back bay boston.
Dkk
15:48
Indeed, the legendary man himself.
15:49
I would go to blow my back out by the bay boston
15:50
lift with ur back not your legs, its better to have a blown back than two bad legs
CynicalOops
15:53
Blow and back day out by boston bay
15:59
so true
Dkk
16:03
Of course. Man sad Ricky Henderson died. That was my favorite athlete of all time.
windyMagician
16:10
is it dumb that I rlly want to go to Mich even tho I have a full ride to umn
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