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Old 03-26-2015, 12:00 AM
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carry forward loss without a NOL?

I had a $10,000 loss last year from a new business I started in 2013. However I had $32,000 in w2 income in 2013. My deductions were $45k that year though, so the loss didn't 'help' because my taxes were already zero.

Next year I expect to make a significant profit from the new business - is there any way to 'carry forward' the $10,000 loss? Note I have consistent w2 earnings, so I have never had a net operating loss.



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Old 03-26-2015, 07:30 PM
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Join Date: Oct 2010
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Quote:
Originally Posted by ribof View Post
I had a $10,000 loss last year from a new business I started in 2013. However I had $32,000 in w2 income in 2013. My deductions were $45k that year though, so the loss didn't 'help' because my taxes were already zero.

Next year I expect to make a significant profit from the new business - is there any way to 'carry forward' the $10,000 loss? Note I have consistent w2 earnings, so I have never had a net operating loss.
YOUR NOL OF $10k was ALREADY offset by your w2 income and it reduced your gross income/AGI. Imean your w2 income of $32K was reported on line 7 of 1040 and your NOL from sch C of 1040 was reported on 1040 line 12, so your total income on line 22 on 1040 was reduced by your nol in 2013. you'll normally be able to deduct the loss from your total income from other business ventures or from any salary, wages, or other earnings.If the business loss exceeds your total income for the year, any unused portion of the loss can be used to offset income and reduce taxes in another year.



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