1, In Year 1 Cypress, who is married but filing separately, incurred a net capital loss in the amount of $25,000. Cypress also had the following net capital gains in Year 1:

ABC stock	Short-term	$	7,000
DEF stock	Short-term		2,000
GHI stock	Short-term		5,000
JKL stock	Long-term		4,000
MNO stock	Long-term		3,000
Total		$	21,000

What amount, if any, of the Year 1 capital loss will Cypress carry over to Year 2 if the Year 1 deduction is maximized?

• $0

• $1,000

• $2,500

• $4,000