gloriah5200
Expert Alumni

Get your taxes done using TurboTax

If you have negative net income and are self-employed, then negative self-employment income may generate a net operating loss on your return if it exceeds your earned income

 

If you have a "true" net operating loss (verified by Form 1045 Sch A), then you may able to carry it back or foreward against other years business income.

 

You have to ask yourself if you are operating this business in a "businesslike manner" trying to make a profit.