TERRY BIRRELL
CERTIFIED PUBLIC ACCOUNTANT
N
Net Operating Losses Eligible Small Businesses
Generally, net operating losses may be carried back 2 years and forward 20 years. In order to accelerate the refund of income taxes due to net operating losses, the American Recovery and Reinvestment Act of 2009 (enacted Feb. 17, 2009) allows eligible small businesses to elect to carry their 2008 net operating losses back to the third, fourth, or fifth prior year.
The IRS has issued Revenue Procedure 2009-19 providing guidance with respect to the time and manner of making various elections required to avail the Taxpayer of the extended carryback provisions.
The IRS stated that an “eligible small business” is ..
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Copyright 2009. Terry L. Birrell. All rights reserved.