Nol Carryback Rules For 2025 Turbotax

Nol Carryback Rules For 2025 Turbotax. An individual taxpayer operates a farming business and incurs an nol of $50,000 for 2018. Whether the nol is a carryback in prior years or a carryforward, the entries must be made on screen 15, net operating loss.

Nols can be carried forward up to 20 years, with rules for utilization and limitations on offsetting taxable income, requiring irs approval for application. Ordinarily, you must carry an nol back to the earliest year within the carryback period in which there is taxable income, then to the next earliest year, and so on.