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Level 2
December 7, 2019
Solved

Do you need to file a 1040x to report a change in the NOL carryforward from a prior year or can you just add a statement to the current year return with the change ?

  • December 7, 2019
  • 2 replies
  • 14 views

I am adding an expense that was missed on the 2017 1040. The taxpayer had an NOL so it does not change the liability for 2017, only the NOL C/F to 2018.  Do I have to amend the 2017 return or can I just reflect the change on the 2018 statements?  I believe CA allows you to just include a statement with the current year so I am hoping the IRS also allows this.  Please advise.

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Best answer by George4Tacks

File to 1040X to establish the correct NOL. 

2 replies

George4Tacks
Level 15
December 7, 2019

File to 1040X to establish the correct NOL. 

Answers are easy. Questions are hard!
sjrcpa
Level 15
December 7, 2019

How big  a change is it? I might do what you suggest. CAGMC.

George did give the correct answer.

The more I know the more I don’t know.