No, there is no netting or income averaging for capital gains and losses that occurred in different years. You must report last year’s gain, which can only be offset by last year’s capital losses, plus any capital loss carryforwards to last year from prior years. This year’s loss can offset capital gains this year, plus up to $3,000 of ordinary income. Any excess capital loss can be carried forward and used in future years. There’s no time limit for using up capital loss carryovers.
Payments within one tax year of the entire amount due to a participant in a qualified retirement plan. Qualifying lump sums may be directly rolled over tax free, or, in some cases, are eligible for current tax under a favorable averaging method.