The $3,000 Limitation on Deducting Net Capital Losses Does Not

question 12

True/False

The $3,000 limitation on deducting net capital losses does not apply to a trust.

---

Definitions:

Amortize

The process of gradually writing off the initial cost of an asset over a period.

Useful Life

The estimated duration a fixed asset is expected to be usable for its intended purpose, impacting depreciation calculations.

Lease Space

The act of renting property or area for business purposes, such as office or retail space.

Salvage Value

The projected end-of-life resale value of an asset.