carryback

American  

[kar-ee-bak] / ˈkær iˌbæk /

noun

1. (in U.S. income-tax law) a special provision allowing part of a net loss or of an unused credit in a given year to be apportioned over one or two preceding years, chiefly in order to ease the tax burden.

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Etymology

Origin of carryback

First recorded in 1940–45; noun use of verb phrase carry back

Example Sentences

This creates a greater need for loss carryforward and carryback rules, which allow firms with unsteady profits to offset income from profitable years against the losses of unprofitable years.

From Slate • Nov. 15, 2021

"Because you are further into the current year without having filed the prior year's tax returns, you will have a better idea of whether you should carryback a net operating loss."

From US News • Mar. 8, 2016

"I think the carryback extension is a good idea," says Mark Silverman, a prominent tax lawyer at Steptoe & Johnson.

From Time Magazine Archive

Tax carryback credits will put many roads, now in the red, in the black for the year.

From Time Magazine Archive

Said Metzman: even with the increase, the New York -Central will lose $18,652,000 next year, will have no carryback credits to soften the blow.

From Time Magazine Archive