A.I.M. Users Bulletin Board

[Toofuzzy]

Hi Keith RE HIFO

HIFO is Highest Cost In First Out. It means that you sell stocks that have the highest cost basis first.[snip]

That was sort of what I was aluding to but it does not do you any good to take more than a $3,000 loss more than you have gains in your capital accounts. Anything greater than that you can carry to a future year. So if you have a $33,000 loss over allyour gains you carry $30,000 of the loss foward. If you never have any more gains you can write off $3,000 each future year(for ten years). If you had a $30,000 gain the next year you can take the loss against it and not pay any tax on the gain that year.

Hope that isn't
Toofuzzy

Take the road less traveled. It will make all the difference.