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loss carryforward

The IRS will allow a company that has suffered loss in the current year to apply to the loss to next year's tax return in order to reduce the heavy burden of tax liabilities and implications. This option must be recorded on the balance sheet for the next accounting period.

Related information about loss carryforward:
  1. Loss Carryforward Definition | Investopedia
    An accounting technique that applies the current year's net operating losses to future years' profits in order to reduce tax liability. Generally accepted accounting ...
     
  2. What is a Tax Loss Carryforward?
    A tax loss carryforward is an accounting practice in which losses can be reported up to seven years later. A tax loss carryforward...
     
  3. Tax loss carryforward
    This article is part of WikiProject Definitions. Consider editing to improve it. View articles referencing this definition. A tax loss...
     
  4. Loss Carryforward: Definition from Answers.com
    Offsetting the current year's net operating loss against future years' (currently seven years) net incomes for tax purposes, assuming that a loss carryback.
     
  5. Loss Carryforward - Financial Dictionary - The Free Dictionary
    In accounting, a way for a company to reduce its tax liability by applying losses to future tax years in which the company makes a profit. That is, carryforward ...
     
  6. The Net Operating Loss Carryback and Carryforward ...
    The tax treatment of a net operating loss carryback or carryforward.
     
  7. Loss Carryforward Definition & Example | InvestingAnswers
    We explain the definition of Loss Carryforward, provide a clear example of how it works and explain why it's an important concept in business, finance ...
     
  8. Finance Solutions Dealing With Loss Carryforward and Carryback ...
    Though all businesses exist to earn a profit, circumstances may cause annual expenses to exceed taxable income. When this occurs, the business has a net ...