there's a question of whether your operating a business or have a hobby. reporting for a hobby is completely different than the reporting for a business.
here's a link that discusses hobbies and the factors the IRS uses
https://www.irs.gov/newsroom/hobby-or-business-irs-offers-tips-to-decide
as a hobby, there would be no loss carryover. not sure why there is a "business loss carryover". they are NOL's that are not reported on schedule c. is this an S-corp? as a rule you can't pick the amount of prior losses that you use one year and some more in another year. it's all or none (subject to basis and at-risk rules). however, we can't see your return so can't be sure exactly what's happening.
