Publication 536 - Introductory Material
Certain timber losses. You can no longer treat income and expenses attributable to qualified timber property located in the GO Zone, Rita GO Zone,
or Wilma GO Zone, as a
farming business for 2007 or later years.
Photographs of missing children. The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Photographs of
selected by the Center may appear in this publication on pages that would otherwise be blank. You can help bring these children
home by looking at the
photographs and calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child.
If your deductions for the year are more than your income for the year, you may have a net operating loss (NOL). An NOL year
is the year in which an NOL occurs. You can use an NOL by deducting it from your income in another year or years.
What this publication covers.
This publication discusses NOLs for individuals, estates, and trusts. It covers:
To have an NOL, your loss must generally be caused by deductions from your:
A loss from operating a business is the most common reason for an NOL.
Partnerships and S corporations generally cannot use an NOL. However, partners or shareholders can use their separate shares
of the partnership's
or S corporation's business income and business deductions to figure their individual NOLs.
You should keep records for any tax year that generates an NOL for three years after you have used the carryback/carryforward
or three years after
the carryforward expires.
What is not covered in this publication?
The following topics are not covered in this publication.
Bankruptcies. See Publication 908, Bankruptcy Tax Guide.
NOLs of corporations. See Publication 542, Corporations.
Comments and suggestions.
We welcome your comments about this publication and your suggestions for future editions.
You can write to us at the following address:
Internal Revenue Service
Individual Forms and Publications Branch
1111 Constitution Ave. NW, IR-6526
Washington, DC 20224
We respond to many letters by telephone. Therefore, it would be helpful if you would include your daytime phone number,
including the area code, in
You can email us at
. (The asterisk must be included in the
address.) Please put “Publications Comment
” on the subject line. Although we cannot respond individually to each email, we do appreciate your
feedback and will consider your comments as we revise our tax products.
Ordering forms and publications.
to download forms and publications, call 1-800-829-3676, or write to the address below and receive a response
within 10 business days after your request is received.
National Distribution Center
P. O. Box 8903
Bloomington, IL 61702-8903
If you have a tax question, visit
or call 1-800-829-1040. We cannot answer tax questions at either
of the addresses listed above.
Useful Items - You may want to see:
See How To Get Tax Help near the end of this publication for information about getting these forms.