Form 1139

[11Buster]

In preparing form 1139 for either a 2018 or 2019 NOL carryback to prior year(s), do you attach the original prior year(s) tax return(s) or the "refigured" prior year(s) tax returns with the carried back NOL amounts?  Instructions aren't all that clear, but I would assume you would included the "adjusted prior year(s) returns (much like a 1120X.  I don't see, though, if you are supposed to write anything on the top of page 1 of those year(s), such as amended or adjusted.

[George4Tacks · Accepted solution]

Per the instructions "All carryback year forms and schedules for which items were refigured." You do not need to put any annotation at the top of those returns. 

[11Buster]

Thanks!  My client has (1) one form 1139 for a 2018 loss, carried back until used up. He also has  (1) one form 1139 from a 2019 loss.  The loss will be carried back to 2017 and offset the amount carried back, then forward from the first 1139 (from 2018 NOL).  Would it be ok to fax both years to IRS as they would have to process the first 1139 to see there is still some taxable income left afterwards in 2017, so that the second 1139 can offset it?

[George4Tacks]

I would fax them separately with a cover letter something like:

Attached is for 2018, there will be a 2019 sent shortly. Please try to process together. 

then 

Attached is for 2019, there will be a 2018 was sent right before this. Please try to process together. 

I am always hesitant to put two things in the same "envelope" for fear that they get stapled together and only one gets processed. 

[11Buster]

Thanks kindly...good advice!