Discussion Archives:Help Calculating a NOL

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Discussion Forum Index --> Advanced Tax Questions --> Help Calculating a NOL


Discussion Forum Index --> Tax Questions --> Help Calculating a NOL

Jcmustang00 (talk|edits) said:

18 February 2012
I am in the midst of a NOL for a client and I am lost. My clients have elected not to carryback the NOL to previous years. The NOL occurred in 2010 and they will be claiming it beginning on their 2011 return.

Where I am confused is the calculation regarding Form 1045, Schedule A, Line 11. My clients sold their business in 2010 and have a loss shown on Form 1040, Line 14 of approx 31K. Their loss for the business on schedule C is approx. 23K. Form 1045, Schedule A, Line 1 is approx. 33K.

According to the instructions of form 1045, Schedule A, I should enter as a positive number my business capital losses. If this is correct, it pretty much wipes out the NOL, which does not make sense to me.

Everything I find with the IRS does not address line 11 on the Form 1045, Schedule A. Any help on this would be greatly appreciated. If you are willing to discuss this over the phone it would be even more appreciated.

Thank you, Joshua

Marcilio (talk|edits) said:

18 February 2012
I should enter as a positive number my business capital losses. Business capital losses are not the same as net loss from the Schedule C.

Kevinh5 (talk|edits) said:

18 February 2012
You will get more help if you have a profile, as asked numerous times..

Jcmustang00 (talk|edits) said:

24 February 2012
Updated. I apologize for the inconvenience.
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