For the T2 for Incorporated Business, on Schedule 4 (S4), Part 1 is used to ‘carry back non-capital loss’, but the lines to determine which of the 3 available years to apply the loss to are not clear:
“Line 901 - First previous tax year to reduce taxable income”
“Line 902 - Second previous tax year to reduce taxable income”
“Line 903 - Third previous tax year to reduce taxable income”
Question: is line “901 - first year...” applicable to the most recent year or the oldest year? (eg, for 2020 tax year, does “901 - first previous year” mean 2019 (most recent) or 2017 (oldest / first year can be applied)?)
(Note: we cannot ‘assume’ anything, as when you look at similar section of the T1A for other types of business, they have the actual years listed on the lines, and are in order from oldest to newest, which seems counter-intuitive relative to this form.)
Thanks!
Hi, thank you for using Intuit TurboTax Community
The first previous year is the most recent past year. So for a 2020 T2 the first previous year is 2019 and the third previous year is 2017. This is different terminology then on the T1A, and different order
Hope this helps
Hi, thank you for using Intuit TurboTax Community
The first previous year is the most recent past year. So for a 2020 T2 the first previous year is 2019 and the third previous year is 2017. This is different terminology then on the T1A, and different order
Hope this helps
Thanks.
But how do I enter the T2nfor 2022?
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