A "net capital gain" results if the taxpayer has net long-term capital gains in excess of net short-term capital losses
for the year.
Brunswick sold them shortly afterward and reported a $60 million net short-term capital loss
If M has additional ordinary or short-term capital-gain income and a current-year net short-term capital loss
of at least $3,000 (as in Example 6), the residual $3,000 long-term capital loss would have to be carried forward for future use.
Exhibit 2: Capital Gains and Losses--1998 Netting Process STEP #1 STEP #2 Ordinary Income: Short-term Capital Gain If Net Short-Term Capital Gain, extend to STEP #5 Short-term Capital Loss (If Net Short-Term Capital Loss
, add to 28% Loss below) 28% rate: Collectibles & SBS(1) If Net 28% Gain, extend to STEP #5 Coll., LTCL carried, NSTCL(2) (If Net 28% Capital Loss, continue offsetting) 25% rate: Unrecaptured Sec.
This gain was not across the board, as small unitrusts reported a $13.4-million net short-term capital loss
. Overall, unitrusts reported total accumulations of net short-term capital gains of approximately $970.0 million and distributions of$ 71.4 million, leaving undistributed net short-term capital gains of $898.6 million.
Example 3: In 1998, B is in the 39.6% tax bracket and has a $50,000 net gain from 28% assets; a $20,000 net gain from 25% assets; a $10,000 net loss from 20% assets; a $5,000 net short-term capital loss
, and a $15,000 long-term CLC.
1222(11) as net long-term capital gain in excess of net short-term capital loss
for the tax year.
1222(11) defines "net capital gain" as the excess of net long-term capital gain for the tax year over net short-term capital loss
for that year.
Adjusted net capital gain is the net capital gain for the tax year (the excess of net long-term capital gains over net short-term capital losses
More interesting to note are the large changes in the amount of net short-term capital losses
One of the most startling changes for 2001 is the amount of reported net short-term capital losses
A 50% deduction for individual or corporate taxpayers' "net capital gains" (the excess of net long-term capital gains over net short-term capital losses
) would be available for sales of capital assets on or after January 1, 1995.