NOL Carryforward Accounts

Five accounts illustrate the NOL carryforward:

Tax Refund Due to Loss Carryforward (v3150.00)

Calculates refunds when losses from prior years carry forward into a gain year.

Maximum Carryforward (v3150.01)

At the beginning of the period, this is the largest prior loss that could offset gains in the current period. Calculated by taking all the losses that occurred during the carryforward period and subtracting those previously used to offset gains.

Tax Gains Offset (v3150.02)

In a period with a gain, the amount carried forward to offset it. It is the lesser of taxable income for the current period and the maximum carryforward.

Tax Loss Pool (v3150.03)

Taxable loss for the current period net of amounts used for carrybacks. These are the losses carried forward.

Tax Loss Pool Used (v3150.04)

During the carryforward period, the amount of losses used by carryforwards.

Total Taxes on Operations (v3280.00)

Strategic Finance performs the same calculations for NOL in determining Total Taxes on Operations (v3280.00) as it does in determining the current provision. The differences are that it uses Taxable Operating Profit (v3210.00) as the measure of income instead of Taxable Income (v31400.00) and that it uses 3250.xx and 3260.xx instead of 3150.xx and 3160.xx.