ed_accountant Posted September 18, 2013 Report Share Posted September 18, 2013 I have new client that wants to file year 2010 and has business net operating loss. He still owes income taxes in years 2009 and 2008. Client wants to know if he can still carryback back the 2010 net operating loss to prior years? Does the statute of limitation effect the carryback? Thanks Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted September 18, 2013 Report Share Posted September 18, 2013 Will this be the ORIGINAL RETURN for 2010? Quote Link to comment Share on other sites More sharing options...
ed_accountant Posted September 18, 2013 Author Report Share Posted September 18, 2013 Yes, this will be an original late return with a business loss. This person has not filed since 2009. Thanks Quote Link to comment Share on other sites More sharing options...
ed_accountant Posted September 18, 2013 Author Report Share Posted September 18, 2013 I got the answer from the IRS tax practictioner's help line.. Yes, my client can claim carryback a 2010 NOL loss to years 2008 & 2009. The statute of limitations for year 2010 is April 15, 2014. I can carryback the 2010 loss to years 2008 & 2009 by filing an amended return for those years before the statute date of 4/15/14. Thanks Quote Link to comment Share on other sites More sharing options...
Mr. Pencil Posted September 18, 2013 Report Share Posted September 18, 2013 I have new client that wants to file year 2010 and has business net operating loss. He still owes income taxes in years 2009 and 2008. Client wants to know if he can still carryback back the 2010 net operating loss to prior years? Does the statute of limitation effect the carryback? Thanks He can carry it back. It may not help as much as he hopes, because it can not reduce SE tax or penalty/interest. And of course no help at all on the California return, at least until 2013.. Also, since it's too late to file Form 1045, you have to use 1040X which opens up 2008 and 2009 to audit again. 1 Quote Link to comment Share on other sites More sharing options...
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