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Level 2
posted Mar 31, 2023 11:31:20 AM

NOL carryforward for trust. How to report on IRC 172(b)(3)

I have a NOL for the trust, reported as a -900 on line 23 of Form 1041.  I can't find form IRC 172(b)(3) which Turbotax says should be used to report this if I want to use the NOL as a carryforward.  Under the section to print all worksheets for your records I found a Form 1041 Schedule of Net Operating Loss Carryovers (keep for your records) which identifies the Current Year Operating Loss in Part II on line 1.  But I DO NOT FIND FORM IRC 172(b)(3).  Where is this form?  Somehow I need to indicate to the IRS that I want to do a NOL CARRYFORWARD, NOT a NOL CARRYBACK.  

Please help.  This is ridiculously confusing for something which should be so simple.  I also can't find a Form IRC 172(b)(3) in the IRS documentation.  

 

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1 Best answer
Level 15
Mar 31, 2023 11:36:34 AM

It is not a form, it is an election statement.

 

See https://www.irs.gov/publications/p536#en_US_2022_publink1000177379

 

Further, make certain that the trust actually has an NOL (which is relatively uncommon for trusts).

 

See https://www.irs.gov/publications/p536#en_US_2022_publink1000177329

2 Replies
Level 15
Mar 31, 2023 11:36:34 AM

It is not a form, it is an election statement.

 

See https://www.irs.gov/publications/p536#en_US_2022_publink1000177379

 

Further, make certain that the trust actually has an NOL (which is relatively uncommon for trusts).

 

See https://www.irs.gov/publications/p536#en_US_2022_publink1000177329

Level 2
Mar 31, 2023 11:42:59 AM

Thank you so much.  Yes I do have a NOL.  Guess I'll just write a letter saying I want to do the carryforward.  It's not much money.  But filling out the NOL carryback forms looks like it's more work than it's worth.