Estate Capital Loss

[Corduroy Frog]

The capital loss restriction of ($3000) appears to apply to fiduciaries as well as individuals.

Does the $3000 loss ceiling apply to the entire estate or to each beneficiary?

 

[BrewOne]

this 1041 is not marked final?  Off the top of my head, if final, I'd think that would release all the losses to the beneficiaries, who would then be subject to the $3,000 limit and carryover.

[jklcpa]

Yes, upon termination the unused losses of the trust or estate will pass to the beneficiaries via the final 1041 Sch K-1. 

[Corduroy Frog]

This one is marked final, and consists of various losses from the previous year.  The long-term capital loss is over $4000, which is more than the $3000 limit.  However, none of the beneficiaries (2) have LTCL over $3000, so I gather from previous comments that each beneficiary can get their entire loss rolled forward into this year.

Admittedly, I am not very experienced with Estate returns and would not have accepted this, except it is my brother's estate.