A loss from operating a business. For income tax purposes, a net operating loss may be carried back two years to offset prior income and get a refund of taxes paid in those years. Any remaining unused loss may be carried forward to benefit future tax years. See also carryback.
The excess of business expenses over income. A business may offset a net operating loss against certain taxes already paid in previous years, or against certain future taxes.
A net operating loss is experienced by a business when business deductions exceed business income for the fiscal year. For income tax purposes, a net operating loss can be used to offset income in a prior year, or a taxpayer can elect to forego the carry back and carry the net operating loss forward.
Negative earnings before taxes. NOL is carried forward where the loss can be offset against current year earnings and reduces current year tax liability.
The excess of business expenses over income in a given tax year.
The excess of the deductions over the gross income used in computing entire net income in a specific year without regard to the net operating loss carry over to that year and the dividend exclusion. Reference is made to NJSA 54:10A-4(k)(6).
A net loss for the tax year because of business or casualty losses. Taxpayers may use an excess loss of one year as a deduction for certain past or future years.
If your deductions for the year are more than your income for the year, you may have a net operating loss (NOL). You can use an NOL by deducting it from your income in another year or years.
The excess when total deductions for a taxpayer's trade or business activities exceed his or her gross income for a particular tax year. Also see “Income” and “Loss.
(NOL) A negative net farm profit for income tax purposes, which can be used to offset past and/or future taxable income.
The excess of business expenses over income. A business may apply a net operating loss to get a refund of past taxes (or a reduction of future taxes) by carrying it back to profitable years as an additional deduction (or by carrying it forward as a deduction to future years).
A net loss for the year attributable to business or casualty losses. In order to mitigate the effect of the annual accounting period concept, the law allows taxpayers to use an excess loss of one year as a deduction for certain past or future years. In this regard, a carryback period of two years (three or five years for certain losses) and a carryforward period of 20 years is allowed.
A net loss in a business that exceeds your other income for a year. The law allows losses to be carried back 2 years or carried forward 20 years to reduce taxes in those years.
A net operating loss results when business expenses exceed business income for the operating period.
