3805V: Net Operating Loss (NOL) Computation and NOL and Disaster Loss Limitations - Individuals, Estates, and Trusts (2024)
California · FTB · Used for tax years 2024
California Form 3805V calculates current-year net operating losses (NOLs) and NOL and disaster loss carryover limitations for individuals, estates, and trusts. It reports losses used in 2024 and amounts carried over to 2025, and is attached to your California tax return.
Who files this form
Form 3805V is for individuals, estates, and trusts to compute a current-year net operating loss (NOL) and determine NOL and disaster loss carryover limitations.
- California residents use Part I, Section A.
- Nonresidents and part-year residents use Part I, Section B.
- If you do not have a current-year NOL, the form directs you to skip Part I and go to Part II.
What you'll need
Have the following available, as applicable:
- Your California tax return, including the names and SSN, ITIN, or FEIN shown on it.
- Your 2024 Form 540, lines 17 and 18, for adjusted gross income and deductions if you are completing Section A as an individual.
- Schedule D (540), Schedule D (541), or the Schedule D (540NR) Worksheet for nonresidents and part-year residents, for the capital loss amounts requested by the form.
- Amounts for business and nonbusiness capital gains and losses, nonbusiness income, and nonbusiness deductions.
- Information about any 2024 declared disaster loss and prior-year NOL and disaster loss carryovers, including the year of loss, initial loss, and carryover from 2023.
Nonresidents and part-year residents also need income and deduction amounts separated according to the residency periods and California-source categories shown in Section B.
How to file
Attach Form 3805V to your California tax return.
The supplied form does not provide a mailing address or e-file directions.
Common mistakes
- Using the wrong section: Section A is for California residents only. Nonresidents and part-year residents must use Section B.
- Starting estates and trusts on the wrong line: In Section A, estates and trusts begin on line 3, not line 1.
- Entering negative amounts where positive amounts are required: Enter Part I, lines 4 through 24, and Part II, lines 2 through 5, as positive numbers. Use brackets for negative amounts where directed.
- Continuing after a stopping instruction: In Section A, if line 3a is positive, enter 0 there and on line 25, and stop Section A. Complete Parts II and III if you have a prior-year carryover.
- Skipping the Part II instructions: The form specifically reminds you to read those instructions before determining modified taxable income.
Questions people ask
What if I do not have a current-year NOL?
Skip Part I and go to Part II, as directed on the form.
Where do I report a 2024 declared disaster loss?
Part I, line 3b, asks for the 2024 declared disaster loss included in line 3a. Enter it as a positive number. Part III, line 3, is designated for a current-year disaster loss.
What does Part II calculate?
Part II calculates your 2024 modified taxable income (MTI). It combines taxable income with the listed capital loss, disaster loss carryover, NOL carryover, and itemized deduction adjustments.
Are NOL and disaster loss carryovers totaled separately?
Yes. Part III, line 5, totals carryovers that are not from disaster losses. Line 6 totals disaster loss carryovers.