Instructions For Form 1045 - Application For Tentative Refund

Example. You have a $20,000

page 1), that part of the loss is

Form 1045), you can make another

NOL of which only $5,000 is an

carried back to the 5th tax year

election under these rules for an NOL

eligible loss. The $5,000 eligible loss

before the loss. Any such loss not

that was not covered by your

is carried back 3 years, but the

used in that year is carried to the 4th

previous election. An NOL carried

remaining $15,000 loss is carried

preceding year and then applied

back to the 5th preceding tax year

back only 2 years (unless you make

consecutively forward through the 1st

under these special rules can offset

an election under the special rules for

preceding year. Any such loss not

no more than 50 percent of your

2008 or 2009 NOLs as explained

applied in the 5 preceding years can

taxable income for the 5th preceding

later on this page), even if you had

be carried forward up to 20 years.

tax year (computed without regard to

modified taxable income of more than

the NOL carryback for the loss year

Only the qualified disaster, GO

$5,000 in the 3rd preceding year.

or any tax year thereafter). This

Zone, recovery assistance, or

limitation does not apply to the 3rd or

Farming losses. To the extent the

disaster recovery assistance loss

4th preceding tax year nor does it

NOL is a farming loss (defined on

portions of the NOL can be carried

apply to the portion of the loss carried

back 5 years.

page 1), that part of the loss is

back under another provision of the

carried back to the 5th tax year

Example. You have a $40,000

law, such as a specified liability loss,

before the loss. Any such loss not

NOL of which $15,000 is a qualified

farming loss, or qualified disaster

used in that year is carried to the 4th

disaster loss. The $15,000 qualified

loss. Any loss not used in the

preceding year and then applied

disaster loss is carried back 5 years,

carryback years can be carried

consecutively forward through the 1st

but the remaining $25,000 loss is

forward up to 20 years.

preceding year. Any such loss not

carried back only 2 years (unless you

applied in the 5 preceding years can

You can choose to make this

make an election under the special

be carried forward up to 20 years.

election by filing an election

rules for 2008 or 2009 NOLs as

statement with (1) your Form 1045 or

Only the farming loss portion of the

explained later on this page). Any

amended Form 1045, (2) your income

NOL can be carried back 5 years.

unused portion of this NOL can be

tax return or amended tax return for

carried forward up to 20 years.

Example. You operate a farming

the loss year, or (3) your amended

business and incur an NOL of

You can make an election to figure

income tax return for the earliest

$50,000 for 2009. $25,000 of the

the carryback period for a qualified

carryback year.

NOL is attributable to income and

disaster, GO Zone, recovery

The election statement must state:

deductions of your farming business;

assistance, or disaster recovery

$10,000 is attributable to a fire in your

1. You are electing to apply

assistance loss without regard to the

personal residence (an eligible loss);

section 172(b)(1)(H) under Rev. Proc.

special 5-year carryback rule. To

and the remaining $15,000 is

2009-52,

make this election for 2009, attach to

attributable to your spouse’s work as

2. You are not a Troubled Asset

your 2009 income tax return filed by

Relief Program (TARP) recipient nor

an employee. The $25,000 farming

the due date (including extensions) a

were you, in 2008 or 2009, an affiliate

loss is carried back 5 years; the

statement that you are electing to

of a TARP recipient, and

$10,000 eligible loss is carried back 3

treat any 2009 qualified disaster, GO

years; and the remaining $15,000

3. The carryback period (3, 4, or 5

Zone, recovery assistance, or

loss is carried back 2 years (unless

years) you are electing for your 2008

disaster recovery assistance losses

you make an election under the

or 2009 NOL.

without regard to the special 5-year

special rules for 2008 or 2009 NOLs

carryback rule. If you filed your

An election to apply a 3, 4, or

as explained later on this page). Any

original return on time, you can make

5-year carryback period must be filed

unused portion of this NOL can be

the election on an amended return

by the due date (including

carried forward up to 20 years.

filed within 6 months after the due

extensions) for filing your 2009 return.

date of the return (excluding

You can make an election to figure

If you filed your return on time without

extensions). Attach the election to the

the carryback period for a farming

making the election, you can still

amended return, and write “Filed

loss without regard to the special

make the election on an amended

pursuant to section 301.9100-2” on

5-year carryback rule. To make this

return filed within 6 months of the due

the election statement. Once made,

election for 2009, attach to your 2009

date of the return (excluding

the election is irrevocable.

income tax return filed by the due

extensions) by attaching the election

date (including extensions) a

Special Rules for 2008 or 2009

to the amended return, and writing

NOLs. You can elect to apply a 3, 4,

statement that you are electing to

“Filed pursuant to section

treat any 2009 farming losses without

or 5-year carryback period instead of

301.9100-2” on the election

regard to the special 5-year carryback

the general 2-year carryback period

statement.

rule. If you filed your original return on

for any 2008 or 2009 NOL. Once

time, you can make the election on

If you make the election to

made, the election is irrevocable. Any

an amended return filed within 6

such NOLs not used in the 3rd, 4th,

carry back a 2009 NOL, you

months after the due date of the

or 5th preceding tax year (depending

must use 2009 Form 1045 to

CAUTION

return (excluding extensions). Attach

on which carryback period you elect)

claim the deduction. To make a 2008

the election to the amended return,

are carried to the next more recent

NOL claim, you must use the 2008

and write “Filed pursuant to section

preceding tax year (either the 2nd,

Form 1045. However, if you elect a

301.9100-2” on the election

3rd, or 4th preceding tax year,

5-year carryback for a 2008 NOL

statement. Once made, the election is

under the special rules explained

whichever applies) and then applied

irrevocable.

consecutively forward through the 1st

above, you must follow the Special

preceding tax year.

Rules for Certain 5-Year NOL

Qualified disaster, GO Zone,

Carrybacks explained in the 2009

recovery assistance, and disaster

Generally, this election is available

instructions for Schedule B, line 10,

recovery assistance losses. To

for only 1 tax year (either 2008 or

beginning on page 8.

the extent the NOL is a qualified

2009). However, if you made an

Changing your carryback

disaster, GO Zone, recovery

election for 2008 under Rev. Proc.

period. You can elect to use a 3, 4,

assistance, or disaster recovery

2009-26 for an NOL attributable to an

assistance loss (defined beginning on

ESB (see the 2008 Instructions for

or 5-year carryback period for a 2008

-4-

Instructions for Form 1045 (2009)

Instructions For Form 1045 - Application For Tentative Refund - 2009 Page 4

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