| President Obama signed H.R. 3548, The Worker, | | | | remaining four carry back years. |
| Homeownership, and Business Assistance Act of | | | | BENEFIT: A business can carry back an NOL to a |
| 2009 into law. One of the provisions of the act is | | | | previously profitable year and obtain a refund for |
| the extension of a Five Year NOL Carry Back to | | | | taxes paid in that year. |
| most businesses for 2008 or 2009. Previously, | | | | CONSIDERATION: Eligible businesses that own |
| under the American Recovery and Reinvestment Act | | | | commercial or residential rental property should |
| of 2009, eligible small businesses (with average gross | | | | consider having a cost segregation study performed |
| receipts of $15 Million or less) were allowed to carry | | | | for the 2009 tax year. A properly performed |
| back Net Operating Losses (NOLs) from 2008 for | | | | Engineering Based Cost Segregation Study can |
| three, four or five years rather than the standard | | | | increase the amount of the NOLs to be carried back |
| two years. | | | | and thus will provide a larger refund. |
| The new act expands the election to allow most | | | | It is not to late to take advantage of this new law. |
| businesses (large and small) to carry back NOLs | | | | It might be necessary to file an extension in order |
| incurred in 2008 or 2009 (typically not both) to the | | | | to have the study completed before your taxes are |
| previous five years. Under the new act, an NOL | | | | due. Don't wait! There is a good chance this won't |
| carried back to the fifth year before the loss is | | | | be available next year. |
| limited to 50% of the available taxable income for | | | | MAXIMIZE YOUR TAX REFUND NOW! |
| that year. Any remaining NOL can then be applied in | | | | |