Net Operating Loss Application Instructions 2025

Loss or Absorption Year 2003 2004 2005 2006 2.Idaho absorption income. Form 56, line 8 ...
2007 2008 2009 2010

Loss or Absorption Year 2011 2012 2013 2014 2.Idaho absorption income. Form 56, line 8 … 2015 2016 2017 2018

Loss or Absorption Year 2019 2020 2021 2022 2.Idaho absorption income. Form 56, line 8 … 2023 2024 2025

# Form 56A - Instructions

Carryback or Carryover of Idaho NOL
For a corporation with multiple entities operating in Idaho, each entity with Idaho activity can carryback $100,000 of Net Operating Loss (NOL), up to the amount of Idaho taxable income per entity in the year carried back. Each member of a unitary group must complete a separate Form 56A to carryback and carryforward Idaho NOL.
For an affected business entity (ABE), the entity must carry forward an Idaho NOL to succeeding taxable years. If the entity doesn't make the election to be an ABE in any succeeding taxable year, the unused Idaho NOL will flow through to the members.
For losses commencing on or after January 1,
2013, you only have one year from the end of the loss year to file an amended return to carry back the
Application of an NOL (Example)
Idaho NOL and apply it to the prior two years. After that, you must carry the Idaho NOL forward. You can carry forward the remaining amount and apply it to the next 20 years until the NOL is fully absorbed.
For Idaho NOL incurred in any taxable year commencing on and after January 1, 2000 but before January 1, 2013, you must carry back the Idaho NOL and apply it to the prior two years. You can carry forward the remaining amount and apply it to the next 20 years until the NOL is fully absorbed.
You can carry back a maximum of $100,000 ($50,000 if you're filing as married filing separately) of Idaho NOL. You must carry forward any Idaho NOL in excess of $100,000.
In this example, 2025 is the loss year. The loss amount is ($249,000) (shown on line 7). The taxpayer has Idaho absorption income of $73,500 in 2023 and $44,900 in 2024 (shown on line 8). The taxpayer used $73,500 of the ($249,000) loss is used in 2023. The taxpayer can use only $26,500 of the loss in 2024 because the carryback is limited to $100,000. The taxpayer can use the remainder of the loss ($149,000) in the next 20 years.
Loss or Absorption Year 2022

1. Idaho adjusted income per return …
2. Idaho net operating loss carryforward/carryback.

Enter as positive …

1. Net capital loss. Enter as positive …
2. Idaho capital gains deduction.

Enter as positive …

1. Idaho qualified business income deduction. Enter as positive. (For years beginning in 2019.) …
2. Casualty losses on Idaho property included in itemized deductions. Enter as negative …
3. Idaho net operating loss.

1. Idaho absorption income.

1. Idaho loss. Form 56, line 7 …
2. Idaho absorption income. Form 56, line 8 …
3. Loss used in 2nd preceding year …
4. Loss used in 1st preceding year …
5. Remaining loss …
6. Total carryover loss remaining … 2023 2024 2025 70,500 32,900 (257,000) 3,000 12,000 8,000 (249,000) 73,500 44,900 2023 2024 2025 (249,000) 73,500 44,900 (73,500) (26,500) (149,000)

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