2020 year land sale loss not communicated by taxpayer

[jblynch]

Have a sad situation where the husband and formerly primary income creator had a significant stroke and has become disabled.  Communication with wife and financial manager constantly breaks down.  Husband sold 2 Tehachapi land parcels in Sept 2020 and did not inform wife or forward escrow for tax return-a rather large LTCL.  It's nearing time for CA disaster-extended 2022 filings and Sept ES payments due to the sale of a rental property with rather large LTCG and depre recapture regular income.  I would like to go through the really involved process of amending 2020 and 2021 returns to get what would be a large adder to their carryovers through the 2022 returns for possible use in 2023.  The real question if any of this is possible:  How to manage the changes in all of the carryover items between the years when there's no desire that otherwise change the 2021 filing?  Thank you in advance for any comments...!

[sjrcpa]

Yes 2020 and 2021 returns can and should be amended to add the 2020 LTCL and the carryover to 2021 and 2022.

"How to manage the changes in all of the carryover items between the years when there's no desire that otherwise change the 2021 filing?" I'm not sure what this means.

[BobKamman]

Doesn't sound like you're looking for refunds, perhaps because the $3,000 maximum loss had already been claimed for 2020 -- you just want to establish that loss and carry it over to following years.  What is so "really involved" with that?  Looks like simple amended returns to me, just a new Schedule D and maybe no change in tax.  

The taxpayer probably doesn't qualify for an extended statute of limitations on refunds, even though "financially disabled," because where was the wife when all this was happening?  How did he sell land without her knowing about it?  These are joint returns, right?  The "sad situation" is that he neglected his wife.