The IRS will allow a company that has suffered a loss in the current year to apply the loss to a previous tax return in order to reduce the heavy burden of tax liabilities and implications. This option must be recorded on the balance sheet for the next accounting period.
Related information about loss carryback:
- Loss Carryback Definition | Investopedia
An accounting technique with which a company retroactively applies net operating losses to a preceding year's income in order to reduce tax liabilities present in ...
- Net Operating Loss Carryback & Carryforward Rules | Lawyers.com
The IRS allows you to use your losses against your income in future or past years for federal tax purposes.
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A tax loss carryback is a business accounting practice in which a loss is applied to a previous year or years when more taxes were...
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Sep 10, 2012 ... An IRS news release and question-and-answer document, issued March 16, have more information on the net operating loss carryback ...
- Loss Carryback: Definition from Answers.com
Offsetting the current year's net loss against net income of the previous years ( currently three years) for tax purposes.
- Loss Carryback - Financial Dictionary - The Free Dictionary
In accounting, a way for a company to reduce its tax liability by applying a net operating loss to previous years in which it made a profit. If a company deducts ...
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Net Operating Loss Carryback provisions for 2008 and 2009.
- Operating Loss Carryback and Carryforward - YouTube
Jul 24, 2011 ... http://www.accounting101.org How to account for an operating loss carryback and carryforward.