80% NOL Rules on 1040

[msmith7305]

Has anyone tested how ProSeries handles the 80%0f taxable income limit for a 2018 NOL carried to 2019? I have fooled around with this and can't seem to find this restriction being implemented.

[Just-Lisa-Now-]

I have not fiddled around with any returns that have NOLs yet...are you saying an NOL created in 2018 its still allowing it to reduce 2019 taxable income 100%?    May have to wait for a few more updates before things like that are working fully.

[IRonMaN]

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@Just-Lisa-Now- wrote:

I have not fiddled around with any returns that have NOLs yet...are you saying an NOL created in 2018 its still allowing it to reduce 2019 taxable income 100%?    May have to wait for a few more updates before things like that are working fully.

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Maybe next year we can work out a deal to pay Intuit based on how functional the product is.  In November, we can pay them about 10% of the fee since I'm guessing that is about how much of the system that is functional.  Then every couple of weeks we can pay them a couple percent more and so on and so on until we submit the final payment for the fully working package sometime in October, 2020.  Sounds fair to me.  Do you think Intuit will go along with it?

[abctax55]

Do you think Intuit will go along with it?

In a single word...  NO

[Terry53029]

I only have one client with an NOL from last year, and the program is giving him 100% ??? good reason not to transfer clients until January, hope intuit fixes it

[IRonMaN]

I'm sensing that you are thinking it might fly.  I'll have to drop that into the Intuit wishing well, or suggestion box, or whatever it is.  Surely they will be willing to work with Santa Claus this time of year.

[msmith7305]

I have set up a "Test" 1040. In it, I have a 2018 NOL carryover that I use to see how ProSeries handles it. So far, it allows a 100% deduction against taxable income. I also noticed that there doesn't seem to be any worksheet to designate 2018 NOL carryovers versus NOL carryovers from years prior to that. Very strange as they are treated completely differently. Also seems to be an issue with Excess Business Losses carried over from 2018 as additional NOL. And where is Form 461 in this year's package? Same as last year. Missing. Our "professional" package seems to be less and less "professional" each year.

[Ernie]

We are users just like you.  This is a question for support.  Call them at 800 four three four 6818.

[msmith7305]

Ernie -

Not ready for Support. Purpose of question was to determine if anyone else (Users) had tested this out. Also to make sure I was not overlooking anything.

After I see what the users say, and hopefully after some updates, will be the time for Support to be called in as far as I am concerned.

[dlwrightandco]

I have not seen any updates that have fixed this issue or any posts to indicate resolution. I'm curious if I've overlooked something. Have you seen anything fixing this? And are you, like me, seriously considering switching to another software provider?

[abctax55]

No, and Yes.

No, haven't seen an update NOR any kind of communication from Intuit on this issue

Yes, I'll be actively looking at other software.

I have manually identified clients with an NOL carryover so I can manually apply the limitation.  That's a LOT of manually work to have to do when using expensive software.

[Trish1]

How are the NOL limitations manually entered?  I have basic package. 

[abctax55]

Go to where the NOL is entered, reduce it by the 20%  IF NECESSARY.

I'm finding very few cases where I do need to override it.