NOL

Forum|Forum|4 years ago
January 18, 2022
5 replies
21 views

I have a client who after subtracitng the standard deduction has no taxable income. They are filing to get withholding back from a 1099R. Though they don't need it, if I enter the $600 above the line charitable contribution, it will create a $600 NOL. Hmmmmm! I'm sure that is incorrect somehow. I went back to his 2020 return (the above was for 2021) and entered the above the line charitable deduction of $300 and it created a $300 NOL. Is this a proseries problem? I would not file a return with the NOL, but others might by mistake.

ProSeries Professional

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Best answer by qbteachmt

It was reported last year, and there should be a NOL worksheet to assign that as non-business:

https://proconnect.intuit.com/community/proseries-tax-discussions/discussion/above-the-line-300-charitable-contribution-increasing-nol/01/125517#M65267

qbteachmt

Level 15

"Though they don't need it,"

Did you mean to state, "They Also made this contribution?"

Or are you explaining making an entry for something that did not happen?

Don't yell at us; we're volunteers

J

JJD753Author

Level 3

They do give to charities, but if you haven't any income to write it off against , you don't need the write off. They use the standard deduction and my preparer, trying to be thorough, asked them if they made any charitable contributions, which they did. the preparer then entered the $600 above the line deduction and it created the NOL on the system.

qbteachmtAnswer

Level 15

It was reported last year, and there should be a NOL worksheet to assign that as non-business:

https://proconnect.intuit.com/community/proseries-tax-discussions/discussion/above-the-line-300-charitable-contribution-increasing-nol/01/125517#M65267

Don't yell at us; we're volunteers

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