Ask Experts Questions for FREE Help !
Ask
    wilwes03's Avatar
    wilwes03 Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Feb 22, 2012, 08:21 PM
    How much of my investment loss is deductible?
    I know that all losses first have to be offset by any capital gains, and you can only take $3,000 loss deduction per year. My question is, do I only get to use the original amount that I invested as my loss? Or do I get to use what the investment was worth when it became "worthless", which would include accumulated interest plus my original investment? I didn't ever take any of the interest into my income for tax purposes, because I wasn't receiving any payments out of the investment.
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
    Expert
    		  
    #2

    Feb 22, 2012, 08:57 PM
    Your loss is limited to your original investment amount. It does not matter that the investment may have reached a higher market value before it list value.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

If loss on sale of inherited property is not deductible, how do you report 1099S? [ 2 Answers ]

Sale of inherited property

Deductible investment expense [ 1 Answers ]

I have an investment property out of state that I'm going to go and see. I booked my flight with frequent flier miles. Can I deduct the value of the flight on my taxes even though I didn't pay for it?

Investment Loss [ 1 Answers ]

What is it called if you turn a land loan back to the bank? ( i.e repo) How bad will this affect our credit? The land loan was secured by another piece of land as collateral, will this lessen the impact on my credit as I know I will loose this piece also? Collateral land is worth maybe $...

Loss of rental income deductible on taxes? [ 2 Answers ]

I have always been told loss of rent cannot be considered on your taxes. I want to do things right this time and maximize my return. Can I inlcude loss of rent on my taxes. We itemize everything and own two houses. One we live in, one we rent and have not recevied rent from 1 of the units since...

Are investment losses deductible? [ 1 Answers ]

I have a few poor investment decisions that did not pan out this year. I have losses from the sale of a stock. I also have commissions from the broker that bought and sold this stock. I am a homeowner, so I write off the interest and I take a few more typical deductions against my wages. Can I...

View more questions Search