Clik here to view.
IRS issues guidance for 5-year carrybacks for 2008 and 2009
Update, 5/6/2010: IRS allows automatic relief for late NOL elections. The IRS yesterday cleared the way for taxpayers to claim loss carrybacks for up to five years for 2008 and 2009. Rev. Proc. 2009-52...
View ArticleClik here to view.
Your wife commits insurance fraud. You repay. Can you deduct?
Peter Dentist hires his wife, Karen, to handle insurance company billing for the dental office. Mrs. Dentist went a bit overboard and billed insurance companies for work that was never done. This...
View ArticleClik here to view.
Farmers can always go back five
While a special provision enables taxpayers to carry back 2008 or 2009 net operating losses back three, four or five years, instead of the normal two, qualifiying farmers can always go back five years,...
View ArticleClik here to view.
You can’t extend paying your taxes, can you?
Normally, no. But if you are a C corporation and you expect to have a 2010 net operating loss that will let you recover your 2009 taxes, you can file Form 1138 to avoid paying taxes that will come back...
View ArticleClik here to view.
Net operating losses: use them or lose them
Can you have no taxable income but still pay income tax? Yes, you can, if you look at more than one year at a time. That’s why the tax law allows you to carry net operating losses for other years –...
View ArticleClik here to view.
Taxes matter when you lose money
My new post at IowaBiz.com on why timely filing is extra important when your business is losing money.
View ArticleClik here to view.
What’s more abusive: loss carryback refunds, or taxes that exceed your income?
So now it’s somehow shady to not pay income taxes on money you haven’t made. That’s the implication of a Wall Street Journal article yesterday about the “little-noticed” five-year loss carryback...
View ArticleClik here to view.
Filing Season Tip: The NOL foot-fault
Update, 5/6/2010: IRS allows automatic relief for late NOL elections. Losing money in your business is never good, but there is a silver lining: the ability to carry back losses to recover prior taxes....
View ArticleClik here to view.
Automatic late filing relief for 5-year NOL Claims
An alert reader points out an item I’d missed in IRS Publication 536 (my emphasis): An election to apply a 3, 4, or 5-year carryback period must be filed by the due date (including extensions) for...
View ArticleClik here to view.
There’s still time to claim a 5-year NOL carryback for 2009 or 2008
The IRS has issued a FAQ covering the temporary five-year net operating loss carryback rules that apply for 2008 and 2009 tax years. Here’s an important bit: Q8. When is the deadline for taking...
View Article
