Intuit HelpIntuitEntering an NOL carryover in the Individual module of Lacerte
by Intuit•6• Updated 3 weeks ago
For tax year 2024 the IRS is working on creating Form 172 to show the calculation of Net Operating Losses for Individuals, Estates and Trusts. This form will replace current NOL Worksheets and Statements in the program once released. To see Draft instructions for the form see here. To see a Draft copy of the form see here.
Follow these steps to enter an NOL carryover in the program:
- Go to Screen 15, Net Operating Loss.
- Enter the Year of loss (e.g., 2019) (MANDATORY) (code 18).
- Enter the Initial loss (code 22).
- Enter the AMT initial loss (code 23) if applicable.
- Enter the Carryover available in 2024(code 19).
- Enter the AMT carryover available in 2024(code 13) if applicable.
- The NOL Carryover will flow to Schedule 1, as Other Income.
If the Year of loss, Initial loss, or Carryover available in {current year} entries are missing, the carryover will not show on the return.
For tax year 2021, if there is an NOL for 2018 or newer, you'll receive diagnostic ref #53656:
- NOL #: The program doesn't automate the limitation of post-2017 net operating losses to 80% of taxable income, before taking into account any NOL deduction. You must override the amount of post-2017 NOL carryforward absorbed this year so it does not exceed the 80% of taxable income limit.
Calculate the allowable amount of the NOL and enter the override on Screen 15 in the NOL absorbed in 2024 field. See here for the most up to date information from the IRS.
For most taxpayers, NOLs arising in tax years ending after 2020 can only be carried forward. See Net operating losses for more information.
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