Search Results

FAQs about the NOL carryback for exempt organizations

Extended Five-Year Carryback of Net Operating Losses from Operations

A corporation that expects to incur an NOL in the current tax year that can be carried back to its preceding tax year can file Form 1138, Extension of Time For Payment of Taxes By a Corporation Expecting a Net Operating Loss Carryback, to extend the time for payment of tax for such immediately preceding tax year.

Non-precedential legal advice re: Net Operating Loss Carryback under section 172(b)(1)(H)

Form 1138 is used by a corporation expecting a net operating loss for the current year to request an extension of time for payment of tax for the immediately preceding tax year. A corporation that expects a net operating loss (NOL) in the current tax year can file this form to extend the time for payment of tax for the immediately preceding tax year.

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) amended section 172(b)(1) to provide for a carryback of any net operating loss (NOL) arising in a taxable year beginning after December 31, 2017, and before January 1, 2021, to each of the five taxable years preceding the taxable year in which the loss arises (carryback period).

Individuals, estates, and trusts use Form 1045, Application for Tentative Refund, to apply for a quick tax refund resulting from the carryback of an NOL, the carryback of an unused general business credit, the carryback of a net section 1256 contracts loss, or an overpayment of tax due to a claim of right adjustment under section 1341(b)(1).

Individuals, estates, and trusts use Form 1045, Application for Tentative Refund, to apply for a quick tax refund resulting from the carryback of an NOL, the carryback of an unused general business credit, the carryback of a net section 1256 contracts loss, or an overpayment of tax due to a claim of right adjustment under section 1341(b)(1).

Use Form 172, Net Operating Losses (NOLs) for Individuals, Estates, and Trusts to figure the amount of net operating loss that is available to carryback or carryforward.

Form 1139, Corporation Application for Tentative Refund, is used by a corporation (other than an S corporation) to apply for a quick refund of taxes from the carryback of an NOL, the carryback of a net capital loss, the carryback of an unused general business credit, an overpayment of tax due to a claim of right adjustment under section 1341(b)(1), or an election under section 53(e)(5) to claim 100% of prior year minimum tax for its tax year beginning in 2018.