Bingo Corporation incurred a net operating loss in 2017.He may carry the loss forward and offset up to 100% of the corporation's taxable income in 2018.

Question

Quizplus · Accepted Answer

This is true as per the IRS rules. Net operating losses can be carried forward for up to 20 years to offset future taxable income. The Tax Cuts and Jobs Act of 2017 also allows for the carryback of net operating losses for two years, but this is not applicable to losses generated in 2017.

Bingo Corporation Incurred a Net Operating Loss in 2017