Which of the Following Statements Is True for a C

question 38

Multiple Choice

Which of the following statements is true for a C corporation incurring a net operating loss (NOL) for a tax year that begins in 2019?

• A)It may carry the NOL back two years and forward 20 years.
• B)It may not carry the NOL back to prior years but it may carry it forward 20 years.
• C)It may not carry the NOL back to prior years but it can carry the loss forward indefinitely.
• D)It may carry the loss back two years and carry the loss forward indefinitely.
• E)None of the choices are correct.

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Definitions:

No Excess Amortizations

A financial statement condition where there is no surplus amortization from the pay-down or write-off of intangible assets.