carryback
noun
car·ry·back
ˈker-ē-ˌbak 
ˈka-rē-
: a loss sustained or a portion of a credit not used in a given period that may be deducted from taxable income of a prior period
Examples of carryback in a Sentence
Recent Examples on the Web
If a business is claiming a net operating loss carryback, Form 7004 cannot be used to extend the return.
—
Marni Rose McFall, Newsweek, 18 Mar. 2025
The 2020 pandemic-relief CARES Act suspended the TCJA’s EBL and NOL changes for 2018, 2019, and 2020 and allowed five-year NOL carrybacks (e.g., a 2020 NOL carryback to 2015).
—Robert Green, Forbes, 22 Oct. 2024
While the Tax Cuts and Jobs Act of 2017 eliminated the net operating loss carryback, the 2020 CARES Act provides for a special five-year carryback for taxable years beginning in 2018, 2019 and 2020.
—Karlton Dennis, Forbes, 28 Dec. 2022
The most important, among these, were enhanced carryback of NOLs (net operating losses) and accelerated depreciation allowance.
—Shivaram Rajgopal, Forbes, 3 May 2022
NOLs generated after that date could be carried forward indefinitely, but the carryback was eliminated.
—Lynn Mucenski Keck, Forbes, 21 Sep. 2021
However, a significant nuance concerning the five-year carryback period is that it must be carried back to the fifth year and then brought forward.
—Lynn Mucenski Keck, Forbes, 21 Sep. 2021
Additionally, more recent regulations have emerged from changing trade policies, new NOL carryback rules under the CARES Act, and other factors due to Covid-19.
—Rose Celestin, Forbes, 24 Feb. 2021
For instance, refiner Phillips 66 boasted an effective income tax rate of just 2% for the first quarter -- well below the federal statutory income tax rate of 21% -- partly because of the carryback.
—Jennifer A Dlouhy, Bloomberg.com, 15 May 2020
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Marni Rose McFall, Newsweek, 18 Mar. 2025
The 2020 pandemic-relief CARES Act suspended the TCJA’s EBL and NOL changes for 2018, 2019, and 2020 and allowed five-year NOL carrybacks (e.g., a 2020 NOL carryback to 2015).
—Robert Green, Forbes, 22 Oct. 2024
While the Tax Cuts and Jobs Act of 2017 eliminated the net operating loss carryback, the 2020 CARES Act provides for a special five-year carryback for taxable years beginning in 2018, 2019 and 2020.
—Karlton Dennis, Forbes, 28 Dec. 2022
The most important, among these, were enhanced carryback of NOLs (net operating losses) and accelerated depreciation allowance.
—Shivaram Rajgopal, Forbes, 3 May 2022
NOLs generated after that date could be carried forward indefinitely, but the carryback was eliminated.
—Lynn Mucenski Keck, Forbes, 21 Sep. 2021
However, a significant nuance concerning the five-year carryback period is that it must be carried back to the fifth year and then brought forward.
—Lynn Mucenski Keck, Forbes, 21 Sep. 2021
Additionally, more recent regulations have emerged from changing trade policies, new NOL carryback rules under the CARES Act, and other factors due to Covid-19.
—Rose Celestin, Forbes, 24 Feb. 2021
For instance, refiner Phillips 66 boasted an effective income tax rate of just 2% for the first quarter -- well below the federal statutory income tax rate of 21% -- partly because of the carryback.
—Jennifer A Dlouhy, Bloomberg.com, 15 May 2020
Cite this Entry
“Carryback.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/carryback. Accessed 8 Jul. 2025.
Copy CitationLegal Definition
carryback
noun
car·ry·back
ˈkar-ē-ˌbak
: the portion of an income tax deduction (as for a net operating loss) or credit which cannot be taken entirely in a given period and which may be deducted from taxable income of a prior period compare carryover
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