Corporate NOL: Corporation Net Operating Loss Worksheet (2025)
Nebraska · Nebraska DOR · Used for tax years 2025
The Nebraska Corporation Net Operating Loss (NOL) Worksheet calculates a corporation’s Nebraska NOL carryforward. It tracks established income and losses, losses used in prior years, charitable contribution carryover adjustments, expired losses, and the amount available for the 2
Who files this form
Corporate taxpayers use this worksheet to compute their Nebraska net operating loss (NOL) carryforward.
You must attach the worksheet to the Nebraska Corporation Income Tax Return, Form 1120N, or Amended Nebraska Corporation Income Tax Return, Form 1120XN, on which you use the loss carryforward. A tax return must be filed to establish the loss before it can offset taxable income.
What you'll need
Have the following information ready:
- Corporation name, federal ID number, Nebraska ID number, and any other Nebraska ID numbers under which losses were reported.
- Tax year-end dates and established taxable income or loss for every year affecting the NOL deduction claimed.
- Amounts of losses previously applied to offset income, including the tax years in which they were used.
- Any expired NOL amounts and charitable contribution carryover adjustments.
Attach these schedules when applicable:
- A schedule showing how any Nebraska NOL limitation and allowable carryforward were computed.
- A schedule computing the federal and Nebraska charitable contribution carryover converted to a federal and Nebraska NOL.
How to file
Attach the completed worksheet to the Form 1120N or Form 1120XN on which you use the loss carryforward.
For the 2025 return:
- Enter the total Nebraska NOL carryforward available on line 1.
- Enter the total Nebraska NOLs available after the Nebraska limitation on line 2, with the supporting schedule.
- Enter the smaller of line 1 or line 2 on line 9 of Form 1120N or Form 1120XN.
If a limitation applies, attach a schedule showing the allowable carryforward computation and use that allowable amount on line 9.
The supplied text does not provide a mailing address or e-filing directions.
Common mistakes
- Using a loss before establishing it. A tax return must be filed to establish the loss before it can offset taxable income.
- Applying losses out of order. Losses must be applied in the order in which they occurred.
- Leaving out relevant years. Enter established income or loss for every tax year affecting the claimed deduction. Put loss amounts in parentheses.
- Completing the loss-applied columns incorrectly. Include a column for each year in which an NOL was carried forward and used to offset income. Do not include the carryover year.
- Running out of columns. Complete another Nebraska NOL worksheet if more than six loss-applied columns are needed.
- Ignoring expired losses or limitations. Enter losses that can no longer be used in the Expired Amount column. Attach a computation schedule if a limitation applies.
Questions people ask
Can Nebraska corporate losses be carried back?
No. For loss years 1987 through 2013, losses cannot be carried back but can be carried forward five tax years. For loss years 2014 and after, losses cannot be carried back but can be carried forward 20 tax years.
When can Nebraska limit an NOL carryforward?
Limitations apply when a reorganization or merger limits the federal NOL, when a corporation with a Nebraska NOL carryforward joins a unitary group, or when the IRS otherwise limits the related federal NOL. Nebraska also limits NOLs incurred in tax years beginning after December 31, 2017, when they exceed 80% of modified Nebraska taxable income recognized in tax years beginning after December 31, 2020.
Can charitable contribution carryovers adjust the Nebraska NOL?
Yes. A corporation reporting all its income to Nebraska enters the charitable contribution carryover that increased the related federal NOL carryforward. A corporation that apportions income multiplies that amount by the Nebraska apportionment factor for the year the Nebraska NOL is used. Attach the required computation schedule.
What goes in the Expired Amount column?
Enter the NOL amount that cannot be used because its carryforward period has expired.