July 3 2020

COVID-19 Pandemic: New Guidance on Procedure for Claiming Net Operating Loss Carry-Backs

Source: IBFD Tax Research Platform News

The Internal Revenue Service (IRS) has provided guidance regarding the deadlines for submitting claims for the carry-back of a net operating loss. The guidance clarifies how the 6-month extension for submitting such claims under Notice 2020-26 interacts with the extension to 15 July 2020 for taxpayers to perform specified time-sensitive actions granted under Notice 2020-23. The guidance, in the form of frequently asked questions (FAQs), explains when a taxpayer may apply the 15 July 2020 deadline. The guidance supplements previous FAQs regarding temporary procedures for claiming quick refunds of the prior year minimum tax credit and net operating loss deductions.