In my 2024 tax return, I showed a $7000 loss on Schedule C. I also had income from social security, retirement accounts, and royalties. I ended up owning no Federal or state income tax and owed no self-employment tax.
I'd like to know if all of that $7000 was deducted fromother income sources, or if there's any "left over" that will roll over into 2025. That is, could be reported as a business loss in 2025. How can I determine that?
Not counting Social Security, were your retirement withdrawals and royalties over $7000? If so, your Schedule C loss would have offset that income and none of it would be carried to 2025.
If that other income was less than $7000, you may have a "Net Operating Loss" (NOL). TurboTax does NOT calculate an NOL, so you would need to manually calculate that to manually carry over to 2025 (or go to a tax professional).
I don't know the exact numbers off the top of my head, but the other income sources were roughly $7000 or maybe a little less. Is there any place in Turbo Tax I can go to see the numbers I need to be comparing to determine a NOL (i.e. net business losses from all sources in one location, and income in another location, so that I can just compare the two numbers)?
For planning purposes I need to be really sure about this so maybe I can take my tax return to a professional to ask the question about NOL. But if it's easy to tell myself, that would be preferable.
Thanks,
Mike
you can use IRS form 172 which Turbotax does not currently support. the instructions are also available on this webpage.