My s-corp (in the trade/construction industry) has a NOL in 2018. Can the NOL be used as a carryback under the new tax rules?

[linobarraza]

I have a s-corp (100% owned//sole shareholder) that works in the construction/trade industry.  In 2018 there is a NOL of approximately $7,000.  Of course since I'm the sole owner, my K1 shows the full NOL.  Also, I stopped the business (ceased operations) in 2018 (but have yet to file the dissolution).  Can I use the NOL as a carryback still under the new tax rules?  I'm aware that I will not be able to carry forward as the business is no longer in business.  Can somebody shed some light on my question?

[MinhT · Accepted solution]

The carryback option for NOL has been eliminated by the new tax laws, except for NOL incurred in the business of farming.

You can carry forward the NOL which will offset your ordinary income in future years. It does not need to be income from a business or from the same business.

[Rick19744]

You indicate that you have a NOL, but that most likely is not accurate.

While you have a loss at the S corp level,  this loss flows through to your personal tax return.  If you have basis to take the loss, the loss will then be taken on your 1040.  If you do not have sufficient basis, then the loss is not included in your personal tax return and is suspended.

The determination of whether or not you have a NOL is at your personal return level.  If you do in fact have a NOL at your personal tax return level, then as indicated previously, the carryback option has been eliminated.