I don't know a lot about trading stocks except for the fact that I don't seem to be very good at it. The few companies I invested in have not done very well and I should have sold them much sooner than I did.
When I was doing my taxes, I remember the carryover of loss was shown as an alert when I was checking my return for errors.
This was just something to let me know it may be a red flag when it came to a possible audit. If a carryover loss of $3000 would be a red flag, I wonder how much a carryover loss of $50,000 would be?
I am sure a 1244 stock loss is scrutinized much more closely than an ordinary loss of $3000.