Fillable Form 505x - Nonresident Amended Tax Return

was credited to an estimated tax account for next year, we

NET OPERATING LOSS (NOL).

cannot reduce or remove this credit without specific authorization

from you. If you have a balance due, and wish to apply monies

To claim a deduction for a federal NOL on the Maryland

credited to a 2015 estimated tax account, attach written

return, you must first calculate the NOL for federal

authorization for the amount to be removed. Interest charges

purposes. A deduction will be allowed on the Maryland

are assessed even if the balance due is removed from the 2014

return for the amount of the loss actually utilized on the

account.

federal return. The amount of loss utilized for federal

purposes is generally equal to the federal taxable income

INTEREST ON TAX DUE AND INTEREST FOR

(before loss is used) or the federal modified taxable

UNDERPAYMENT OF ESTIMATED TAX.

income as calculated for the year of carryback or

Interest must be computed and paid on any balance of

carryforward.

tax due. Interest is due from the date the return originally

An addition or subtraction modification may be required in a

was due to be filed until the date the tax is paid. The

carryback or carryforward year when the federal NOL, or the

annual interest rate has been 13% since January 1, 1993.

year to which the NOL is carried, includes items included in

UNDERPAYMENT OF ESTIMATED TAX

certain provisions of the Internal Revenue Code from which the

State of Maryland has decoupled, including certain special

If you do not meet the requirement for avoidance of interest for

depreciation allowances and 5-year carryback provisions. For

underpayment of estimated tax, obtain Form 502UP online at

more information, refer to Administrative Release 38.

or from any office of the Revenue

Administration Division. Complete and attach it to your amended

An NOL generated when an individual or a business entity is not

return. Enter any interest due on line 27 of Form 505X.

subject to Maryland income tax law, in a tax year beginning on

or after October 22, 2007, cannot be used as a deduction to

If you calculated and paid interest on underpayment of

offset Maryland income. For acquisitions or liquidations occurring

estimated tax with your original return, recalculate the interest

on or after October 22, 2007, the acquiring business entity

based on your amended tax return, and attach a copy of a

which is subject to Maryland income tax law cannot use the

revised Form 502UP showing your recalculation.

acquired or liquidated business entity’s NOL as a deduction to

offset Maryland income, if the acquired or liquidated business

SIGNATURE, ATTACHMENTS AND PAYMENT

entity was not subject to Maryland income tax law when its NOL

INSTRUCTIONS.

was generated. An NOL being carried forward from tax years

Sign and date your return on page 2 and attach all

beginning before October 22, 2007 can be used until exhausted.

required forms, schedules and statements.

An addition to income may be required in a carryback or

SIGNATURES

carryforward year if the total Maryland additions to income

exceeds the total Maryland subtractions from income in the

You must sign your return. Both spouses must sign a joint

loss year. The required addition to income represents a

return. Your signature(s) signify that your return, in cluding all

recapture of the excess additions over subtractions. The

attachments, is, to the best of your knowledge and belief, true,

addition to income required is generally equal to the lesser of

correct and complete, under the penalties of perjury.

the NOL deduction in the carryback year or the net addition

TAX PREPARERS

modification (NAM) in the loss year unless the loss year includes

a decoupling modification. For more information regarding NAM,

If another person prepared your return, that person must also

refer to Administrative Release 18.

sign the return and enter their preparer’s tax identification

number (PTIN). The preparer declares that the return is based

If an election to forgo a carryback is made, a copy of the federal

on all information required to be reported of which the preparer

election for the loss year must be attached with the Maryland

has knowledge, under the penalties of perjury. Penalties may be

amended return.

imposed for tax preparers who fail to sign the tax return and

You must attach copies of federal Form 1045 or 1040X,

provide their preparers tax identification number.

whichever was used for federal purposes, and a copy of

ATTACHMENTS

the federal income tax return for the year of the loss.

Also include Schedules A and B of Form 1045 or the

Be sure to attach wage and tax statements (Forms W-2, 1099

equivalent worksheets used to develop the federal NOL

and K-1) to the front of your return if you are claiming additional

and show the amounts utilized on the federal return in

Maryland withholding. Be sure to attach all forms, sched ules

the

carryback

carry forward

years.

Check

the

and statements required by these in structions. Do not attach

appropriate box on the front of Form 505X located

worksheets. Enclose your check or money order, if required.

directly below the name and address.

MAILING INSTRUCTIONS

INCOME TAX ASSISTANCE.

Mail your return to:

Comptroller of Maryland

For more information, visit our Web site at

Revenue Administration Division

or email your question to:

Amended Return Unit

TAXHELP@comp.state.md.us. You may also call 1-800-638-

110 Carroll Street

2937 or from Central Maryland 410-260-7980.

Annapolis, Maryland 21411-0001

PAYMENT INSTRUCTIONS

Make your check or money order pay able to “Comptroller of

Maryland.” Write the type of tax and year of tax being paid on

your check. It is recommended that you include your Social

Security

Number

check

using

blue

black

ink.

DO NOT SEND CASH.

REMINDER: Attach a revised Form 505NR to your 2014 Amended Nonresident Return.

COM/RAD-022A

Form 505x - Nonresident Amended Tax Return - 2014 Page 6

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