Filing for dependent minor

[appelman]

In 2009 I filed a return for a dependent minor solely to establish a capital loss carryover. There was no filing requirement, even under the kiddie tax provisions. For 2010, he has no income and no capital transactions. Do I need to file just to propagate the capital loss carryover, or can I simply pick it up later when there is some activity?

[Uncle Sam]

Filing for Dependent Minor

This subject has come up before - if not on this board - on other practitioner forums.

The capital loss stays in suspense until there's taxable income to write it off against - so there's no need to file a return solely to keep the capital loss carryover intact.

I had a different type of situation this year. I had minor dependent children who had capital losses only on the return - but to establish the loss I had to file the returns

[Koss]

Capital Loss Carryover

See this earlier thread for more detail...

http://www.thetaxbook.com/forums/showthread.php?t=8403

BMK