Net Operating Loss: Overview (Completed)

This webcast will address issues that tax return preparers and taxpayers' representatives may not understand when certain deductions exceed gross income. Discussion will include net operating loss carryback and carryover sequencing. Tips and ideas will be provided on how to do tax planning to maximize refunds of previously paid income tax and minimize any alternative minimum tax liability.

Who Should Attend
Tax practitioners at all levels, regardless of tax practice, who want to understand the impact of net operating losses including carryback and carryover of those losses.

Topics Covered

• Discuss overview of net operating losses (NOLs)
• Discuss overview of alternative tax net operating losses (ATNOLs)
• Define the terms (1) "net operating loss" (NOL), (2) "net operating loss deduction" (NOLD),and (3) "taxable income" (TI)
• Discuss NOL carryback and carryover periods
• Establish the amount of an NOL carryback or carryover
• Review Form 1045 and Form 1139 as well as Form 1040X and Form 1120X
• Determine the effect of ARRA and WHBAA on NOLs and ATNOLs
• Determine the correct application sequencing of NOLs and ATNOLs
• Discuss modifications to the NOL calculation under IRC 172
• Discuss rules governing ATNOL carryback under WHBAA
• Discuss election to forgo carryback period under IRC 172(b)(3)
• Briefly discuss NOL/ATNOL carrybacks and penalties
• Brief discussion of applicable resources when seeking assistance, i.e., the Internal Revenue Manual (IRM and more

Learning Objectives

• Identify key tax issues that involve net operating losses and alternative tax net operating losses.

Level
Overview

Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Basic experience with income tax issues

Advance Preparation
None