Where can I find my loss carry forward line item on my tax forms?

You'll want to look at your previous year's Schedule D (Capital Gains and Losses) and the accompanying Form 8949. The loss carry forward amount should be on Schedule D, Line 21 - that's where the IRS tracks your capital loss that exceeds the annual deduction limit. If you only had a partial offset last year, the remaining loss (up to $3,000) would have been used to reduce other income on Form 1040 Line 7. Any amount over $3,000 gets carried forward to this year. Since you mentioned switching from TurboTax to H&R Block, you might need to manually enter this information. Neither software automatically imports carryover data from competitors.

After dealing with the exact same issue last year, I found a solution using taxr.ai (https://taxr.ai). I was switching between tax programs and couldn't figure out where my loss carryover was listed. The website analyzed my previous return PDF and showed me exactly where to find all my carryover items including capital losses. It highlighted the exact line on Schedule D and explained how much I could apply to this year. Saved me hours of searching through forms.

I was really skeptical about uploading my tax documents to taxr.ai at first, but I was desperate after spending 3 hours trying to find my capital loss carryover amount. Within about 2 minutes, the system highlighted exactly where my $4,700 loss carryover was on my previous return (Schedule D, Line 21) and even calculated how much I could use this year. I was able to enter it directly into H&R Block and didn't have to call my accountant or dig through more tax forms. I'm definitely using it again next year when I need to find my foreign tax credit carryover.

If you're still having trouble with this and need to contact the IRS to verify your loss carryforward amount, I'd recommend using Claimyr (https://claimyr.com). I wasted 2 hours on hold with the IRS trying to verify my carryover amounts from 2023, then found this service that got me connected to an actual IRS agent in under 15 minutes. You can see how it works here: https://youtu.be/_kiP6q8DX5c. The agent was able to pull up my previous returns and confirm my exact loss carryforward amount, which was actually $1,200 more than I thought!

I have to admit I was completely wrong about Claimyr. After dismissing it as a scam, I was still stuck trying to figure out my loss carryforward and decided to give it a shot as a last resort. I got connected to an IRS agent in 12 minutes when I had been trying for days on my own. The agent pulled up my transcript and confirmed my capital loss carryforward was $7,250 (I had been using $6,000 in my calculations). They even explained how it would apply to my current year return. This service just saved me from a potential audit and corrected a $1,250 error in my favor.

Just to save others some time - if you have your previous tax return, you should look for Form 8949 and Schedule D. The very bottom of Schedule D (line 21) will show your "Loss carryover to next year." That's the exact number you need to input in this year's software. If you can't find your previous return, you can request a tax transcript from the IRS website. It's free and will show most of the information you need.

Has anyone else had issues with H&R Block not correctly pulling the loss carryover from last year even when you used H&R Block for both years? Mine didn't transfer over automatically and I had to manually add it.

For anyone still struggling with this, I found my loss carryover amount by looking at last year's Schedule D, specifically line 21 like others mentioned. But here's a tip that helped me: if you can't find your physical copy, you can also log into your old TurboTax account (even if you're not using them this year) and view/download your previous year's return as a PDF. That's how I found my $2,800 capital loss carryforward that I had completely forgotten about. Most tax software companies keep your returns available online for several years, so that might be easier than requesting transcripts from the IRS.

Just wanted to add another option for finding your loss carryover - if you're comfortable with it, you can also call your previous tax preparer directly. I had used a local CPA for several years before switching to software, and when I couldn't locate my capital loss carryforward amount, I called his office. His assistant was able to pull up my file and tell me the exact amount within 5 minutes. Most tax preparers keep client records for at least 3-7 years, so even if you've switched to doing your own taxes, they might still have your information on file. Obviously this only works if you used a professional preparer before, but it's worth a shot if you're stuck and don't want to deal with the IRS or upload documents to online services.

Thanks for this detailed question! I had the exact same issue when I switched from TurboTax to FreeTaxUSA last year. Like others mentioned, you'll definitely want to look at your 2023 Schedule D, Line 21 - that's where your capital loss carryforward amount is listed. One thing I learned the hard way is that you need to be careful about which type of loss you're carrying forward. Since you mentioned selling stocks at a loss, that would be a capital loss, which is different from business losses or other types of carryovers. Capital losses can offset capital gains dollar-for-dollar, and any excess (up to $3,000) can reduce your ordinary income. Anything beyond that $3,000 limit gets carried forward to future years. If you remember losing about $4,200 on stock sales but only used part of it, you should be able to find the exact carryforward amount on that Schedule D line. The good news is that capital loss carryforwards never expire - they can be carried forward indefinitely until fully used up. Just make sure when you enter it in H&R Block that you're putting it in the right section for carryover losses, not as a new transaction for this tax year.