Discussion:C Corp NOL carryback (actual procedure)

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IanScot (Talk | contribs)
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Foxttron (Talk | contribs)
(No need for 1120)
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I've gone ahead and added a new deduction on line 26 of the FY2003 1120, calling it "NOL Carryback from FY2005". This gives me the correct numbers for the 1120X in Turbotax, but I have no idea if this is the correct way to do a carryback.}} I've gone ahead and added a new deduction on line 26 of the FY2003 1120, calling it "NOL Carryback from FY2005". This gives me the correct numbers for the 1120X in Turbotax, but I have no idea if this is the correct way to do a carryback.}}
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 +{{ForumReplyPost|UserID=Foxttron|Date=24 August 2006|Text=No need for 1120X, just do Form 1139. It is very simple. You will claim both refunds in just one form.}}

Revision as of 00:27, 24 August 2006

Discussion Forum Index --> Tax Questions --> C Corp NOL carryback (actual procedure)

IanScot (talk|edits) said:

23 August 2006
I've got a NOL for a C corp in FY2005 and I want to carry it back to FY2003 and FY2004.

I don't understand how the actual procedure for doing this works and would appreciate any comments:

The instructions for form 1120 state that carryback claims should use either form 1120X or form 1139, and based on my reading of the rules, I should use form 1120X for both FY2003 and FY2004 because it is more than 1 year since either of those returns were filed. Fine, but how does one put a NOL carryback on form 1120X? There is a box to check on page 2 of form 1120X regarding carrybacks, but there are no instructions about what modifications to do on the original form 1120 to make the numbers on page 1 of the 1120X come out correctly (I am using Turbotax Business 2005). I'd like to put the carryback on line 29a of the FY2003 1120, but the instructions specifically say that this line is for carryforwards.

I've gone ahead and added a new deduction on line 26 of the FY2003 1120, calling it "NOL Carryback from FY2005". This gives me the correct numbers for the 1120X in Turbotax, but I have no idea if this is the correct way to do a carryback.

Foxttron (talk|edits) said:

24 August 2006
No need for 1120X, just do Form 1139. It is very simple. You will claim both refunds in just one form.
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