How to calculate the the "Long-Term Capital Loss Carryover" from the schedule D?

Report Inventory Costs on Schedule C?

• I am completing my taxes last minute and I have a general questions regarding Schedule C filing as a sole proprietor. Basically, I am using TurboTax Home and Business to complete my taxes. I started a business in Dec in Retail. Example is this: Purchased 25k inventory Sold only $8k in Dec and made $4k over the cost of the merchandise. Turbotax asks if I want to calculate inventory. I said yes and entered my starting and ending inventory and sales which are going into the cost of goods sold form. After completing the entire business section, it doesn't show the inventory expenses as a negative in the overall business profit or loss. Should the inventory expenses figure in as a negative and reduce the profit or loss. Should they be entered as assets as well as what I have completed. I have completed my taxes each year but have never had a business with inventory. Turbotax says I don't have to caclulate the inventory so I am wondering if I should be doing this differently?

• Answer:

  If I understand this, you have an ending inventory of $17,000. This is not an expense to you. You can only take the cost of the goods that were sold as an expense. Next years return will have a starting inventory of $17,000.