Hi Lindq: The answer is yes. The net short term capital loss, after offsetting any capital gain in the current tax year and $3k of ordinary income in the current tax year, carries forward to the succeeding tax year. Then that whole process goes on again for that succeeding tax year. And so on and so on from tax year to tax year until the net capital loss carryforward is used up. Although most advisors will state that the carryforward of net capital losses goes on forever, âforeverâ is a long time. Actually, my references indicate that unused capital loss carryovers expire with the death of the individual taxpayer by whom the losses were sustained. So the old adage that âYou canât take it with youâ remains true for tax loss carryovers as well. What the heck . . . what good is a tax loss carryforward in heaven anyway? So much for the metaphysical. Back to your reality: Youâve still got STCL that has carried forward for two years now, and the remaining amount will be available to offset capital gain for 2003.