Alabama Administrative Code Chapter 810-3-168 — Net Operating Loss Deduction Not Applicable to an Alabama S Corporation

810 Alabama Department of Revenue

Ala. Admin. Code r. 810-3-168-.01 Net Operating Loss Deduction For S Corporations

(1) No net operating loss carryback or carryforward deduction is allowable for an Alabama S corporation. See Rule 810-3-161-.01 and 810-3-35.1-.01.

(2) No carryforward and no carryback shall arise at the corporate level for a taxable year for which a corporation is an Alabama S corporation.

(3) The taxable year that a corporation is an Alabama S corporation may be considered in determining the number of taxable years which a net operating loss item can be carried back or carried forward.

(4) See also Rule 810-3-174-.02, Built-in Gains Tax.

History

• Author: Ed Cutter, CPA, Ann Winborne, CPA
• Authority: Code of Ala. 1975, §§40-2A-7(a)(5), 40-18-168.
• Adopted November 13, 1985. Amended: Filed March 31, 2000, effective May 5, 2000.