Nebraska Nebraska Net Operating Loss Worksheet

Nebraska Net Operating Loss Worksheet
Form NOL
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Nebraska Corporation Net Operating Loss Worksheet
• See instructions on the reverse side.
	 Name of Corporation
	 Federal ID Number	

Year
Ended

Established
Income
(Loss)

Nebraska ID Number	

Loss Applied
to Year End
_______

Loss Applied
to Year End
_______

Loss Applied
to Year End
_______

Loss Applied
to Year End
_______

Other Nebraska ID Numbers Under Which Losses Were Reported

Loss Applied
to Year End
_______

Loss Applied
to Year End
_______

Total
Loss
Applied

Charitable
Contribution
C/O (attach
schedule)

NOL
Carryforward
Available

Expired
Amount

1 Total Nebraska NOL carryforward available...............................................................................................................................................................................................

1

2 Total Nebraska NOLs available for use on the 2023 return after the NE limitation (Attach schedule)........................................................................................................

2

Enter the smaller of line 1 or line 2 on line 9 Form 1120N or 1120XN.

8-552-1997 Rev.   9-2023
Supersedes 8-552-1997 Rev. 1-2023 

Instructions

Use this worksheet to compute the corporate taxpayer’s Nebraska net operating loss (NOL) carryforward. This worksheet
must be attached to the Nebraska Corporation Income Tax Return, Form 1120N, or the Amended Nebraska Corporation
Income Tax Return, Form 1120XN, on which the loss carryforward is used.
For loss years:
	

• 	 1987 through 2013 — The loss cannot be carried back, but can be carried forward five tax years.

	

• 	 2014 and after — The loss cannot be carried back, but can be carried forward 20 tax years.

Losses must be applied in the order in which they occurred. An election to forego the carryback of a federal NOL is binding
for Nebraska.
NOL Carryforward Limitations. Nebraska imposes several limitations on the use of a Nebraska NOL carryforward. A
corporate taxpayer’s use of a Nebraska NOL is limited when:
	

1. 	 There is a reorganization or merger and the use of the federal NOL is limited;

	

2. 	 A corporation with a Nebraska NOL carryforward becomes a member of a unitary group;

	

3.	 A Nebraska NOL incurred in tax years beginning after December 31, 2017 exceeds 80% of the modified Nebraska
taxable income recognized in tax years beginning after December 31, 2020. Modified Nebraska taxable income
is the Nebraska taxable income after the Nebraska capital loss, plus the Nebraska portion of the federal Section
250 deduction (federal 250 deduction multiplied by the Nebraska apportionment factor, minus the Nebraska NOL
carryforward from years beginning before January 1, 2018).

	

4. 	 Any other situation where the IRS limits the use of the related federal NOL.

For additional information, see Corporate Income Tax Regulation 24-060, Net Operating Losses and Capital Losses. If any
of the limitations apply to the NOL carryforward shown on this worksheet, attach a schedule showing the computation of
the allowable carryforward. Enter the allowable carryforward from the schedule (instead of the carryforward shown on the
Nebraska Corporation Net Operating Loss Worksheet) on line 9 of Form 1120N or Form 1120XN for the 2023 tax year.

Specific Instructions
Complete the name of the corporation, federal ID number, Nebraska ID number, and any other state ID numbers under which
Nebraska net operating losses were reported. A tax return must be filed to establish the loss before the loss can be applied to
offset taxable income.
Year Ended. Enter the month, day, and year that the tax year ends.
Established Income (Loss). On each line, enter the taxable income or loss established for that year. Place the loss amounts
in parentheses (  ). This information must be entered for every tax year that affects the NOL carryforward deduction claimed.
Loss Applied to Year End. Complete the necessary columns with the month, day, and year at the top of the column and
the amount of the loss being applied in the column. A column must be completed for each tax year for which an NOL was
carried forward and used to offset income. Do not include the carryover year. If more than six columns are needed to show
the application of the Nebraska losses entered in the Established Income (Loss) column, complete an additional Nebraska
NOL worksheet.
Charitable Contribution Carryover. A Nebraska NOL carryforward may be adjusted for a charitable contribution
carryforward in a manner similar to the adjustment allowed under the Internal Revenue Code. A corporation that reports
all of its income to Nebraska should enter the amount of charitable contribution carryover that increased the related federal
NOL carryforward. A corporation that apportions its income to Nebraska should enter the result of the charitable contribution
carryover that increased the related federal NOL carryforward multiplied by the Nebraska apportionment factor of the year
that the Nebraska NOL is used. Attach a schedule computing the federal and Nebraska charitable contributions carryover
that was converted to a federal and Nebraska NOL.
Expired Amount. Enter the amount of NOL which cannot be used because the carryforward period has expired.
Total NOL Carryforward Available. Enter the amount of NOL available to be applied to the current year.
Nebraska NOL Carryforward Limitation. If the use of a Nebraska NOL carryforward is limited, enter the amount of
the limitation. Attach a schedule detailing how the limitation was computed.

Example. In this example, the corporation is calculating the amount of Nebraska NOL carryforward available to use on its 2023 Nebraska
Corporation Income Tax Return. If the 2023 Nebraska modified taxable income is larger than $10,000 use of the Nebraska NOL carryforward
from tax years 2020, 2021, and 2022 will be limited.
Year Ended

Established
Income
(Loss)

Loss Applied
to Year End
12/31/2016

Loss Applied
to Year End
12/31/2018

20,000

50,000

Loss Applied
to Year End
12/31/2019

Total Loss
Applied

Charitable
Contribution
C/O

Expired
Amount

NOL C/O
Available

12/31/2013

(100,000)

70,000

30,000

0

12/31/2014

(35,000)

35,000

35,000

0

0

12/31/2015

(40,000)

40,000

40,000

0

0

12/31/2016

20,000

12/31/2017

(35,000)

25,000

25,000

12/31/2018

50,000

12/31/2019

100,000

12/31/2020

(20,000)

(20,000)

12/31/2021

(50,000)

(50,000)

12/31/2022

(5,000)

(5,000)

(10,000)

1 Total Nebraska NOL carryforward available..................................................................................................................... 	 1

(85,000)

2 Total Nebraska NOLs available for use on the 2023 return after the Nebraska limitation (Attach schedule)................... 	 2

(42,800)

Enter the smaller of line 1 or line 2 on line 9 Form 1120N of 1120XN.

Nebraska NOL Limitation Schedule

	
NE 80% limitation computation
		
NE taxable income after the NE capital loss carryforward		
50,000
		Federal 250 deduction					2,000
		NE apportionment factor					 50%
		
NE 250 deduction						
+	 1,000
		Subtotal								51,000
	
NE NOL (2017)							
-	 10,000
	Subtotal									41,000
	
Limitation Percent						
	
x	
80%
	
NE limitation on use to 2020 and 2021 NOL carryforwards			
32,800
	
NE NOL carryforward from 2017					
+10,000
	
Total Nebraska NOLs available for use on the 2022 return after the NE limitation	 42,800