Question

Can you use prior year loss on 1065 on any year you want?

Forum|Forum|1 year ago
July 6, 2024
2 replies
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I stupidly did not claim/carry forward losses from 2017 and 2018 on small profits from 2019, 2020 and 2021. The business has since seized operations. I understand that you can amend up to 3 years previously which leaves only 2021 as able to amend. Can I use the losses from 2017 and 2018 toward 2021, basically skipping 2019 and 2020? The losses add up to $25K.

A

Anonymous_

Employee

Did you not issue K-1s during those tax years?

M

Mike9241

No you cannot skip years. also do you actually have c/f losses? Just because the K-1m shows a loss doesn't mean there is a c/f. The laws for determining c/f are complex. it's possible the losses were allowed against other income in those years.

you would have to complete a c/f worksheet for 2017/18 to determine if they exist.

this is from IRS pUB 536

https://www.irs.gov/publications/p536

by the way any loss carryforward that results in a refund may be denied for 2020 since that return was due 5/17/2024