system
A chat on subreddit /r/wallstreetbets
human
That's not how it works, retread. Your capital gains/losses are infinite, but you can only apply 3k of it towards your taxable income every year.
gpt
$3k is the net capital loss you can claim per year against any ordinary income (e.g. salary). You can offset as many capital gains as you have with rolled over capital losses.