R3 M4 - Calculating Loss Limitation for C Corporation

Question 1

NOL Carry forward from pre-2018 tax years can offset 100% of a future year’s taxable income.

NOL Carryforward from Post 2017 tax years can offset 100% of taxable income in 2018, 2019, and 2020.

Starting 2021, any NOL carry forward from post 2017 tax years can only offset 80% of the future year’s taxable income after deducting Pre-2018 NOL Carryforwards.

Answer 1

Question 2

Question 3

LP, Partnership, S Corp, General Partnership are pass through or flow through entities, they do not pay tax at the entity level.

Only C Corporation are taxed at the entity level.