legal  taxes


Question by  bvo (16)

Can you carry forward a net business loss in order to reduce your taxes during the next year?

Last year I was in the negative with my business, I had a net loss of over 50 K, I would like to carry that loss into next year so that I have lower taxes.


Answer by  Chaneygirl (1755)

Yes, if file the election not to carryback the loss with your return. If the loss was used up by other income (wages, interest, rental, etc,) then there is no loss to carryforward. The business must flow through your personal return for this to work (ie a c-corp would have no effect on your personal return).


Answer by  worker6692 (107)

Yes you can carry forward a net operating loss for up to twenty years and have it deducted from you taxes.


Answer by  gleverance (720)

Generally, yes, your net operating loss can be carried forward. You can also apply it to prior returns, within the last three years. Sit down with a tax professional to make sure your getting the best deal.


Answer by  Kurt (4579)

The rule on losses is that first you must apply the loss to prior years ( 3 ) before you can apply the loss against future tax returns.

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