I have never filed taxes for 2012. The taxes I likely owe for that year (prior to interest and failure to file penalties ) are approximately $5000.

In 2014 I had an NOL (on line 41) of approximately $6000.

My plan is to carryback the 2014 NOL using form 1040x.

2 main questions:
1. Since I am filing the returns for 2012 for the very first time , should I attach 1040x at the same time that I file this return , or should I wait until the first set of 2012 returns have been processed? My understanding is that form 1040x is meant to amend the first set of returns

2. How will the amount of the NOL work with regards to late filing penalties for the 2012 taxes? Will the penalties and interest for the unpaid taxes from 2012 be computed first , and then the NOL from 2014 is applied to the total balance (taxes plus penalties less the NOL)? Or can the NOL from 2014 be applied directly to what taxes would have been due back in 2012? If the latter is the case, then there would presumably be no tax due and therefore no penalties.... (Since my 2014 NOL is more than my 2012 tax) . I am looking at the form but don't see where possible penalties figure into 1040x.....

In very confused as to how to handle this!