DavidD66
Employee Tax Expert

Get your taxes done using TurboTax

If you had a business loss that was in excess of your ordinary income (e.g. your loss was more than your other income) you probably had a Net Operating Loss (NOL).

 

You are correct.  You have to report your Net Operating Loss Carryover in the year of the NOL.  You cannot claim a net operating loss unless you reported the loss and the carry forward for the year it occurred.  You are also correct that An NOL, as well as any carryover or carryback is not calculated by TurboTax. You must use the worksheets in IRS Publication 536 to determine your actual carryover/carryback and your current year NOL.  In addition, if you are in a state with an income tax, you must calculate and submit the state NOL separately from the federal.  

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