we had a large gain in 2010 in futures (section 1256) and then a large loss in 2011 (large but a lot less than the gain in 2010). Since section 1256 allows amending prior returns and carrying back the losses, I will be amending my 2010 return using a carryback loss and getting a refund on my 2010 federal return.
However my state return does not allow carryback. So there's no point in amending my 2010 state return. For 2012 on my federal return there will be no carried over loss (because it was applied to my 2010 return). Can I still carry it over on my state return? Usually the numbers are carried to the state return directly from the federal but in this case the state will screw me over (on the lack of carry back and also on the fact I can't carry it forward). Is there a legal way to carry it forward only on my state return?
I imagine I can't be the only one getting screwed by my state.
