Sorry, I am working on it. It is a complicated question. I think you should be able to but I do not have any authority for you yet.There is nothing on point. However if you go to ITP 99-1 on the AZDOR website you will see a discussion. I think the answer is to amend the return you are carrying back to (I see only 2 years) claiming the carryback of the AZ loss. Since there is no federal 1045 you would need to create a comparable AZ spreadsheet showing the carryback.
This is not a for sure answer. It is just what I would do.
Thank you Brenda. I am new to this website. If I accept answer, is that it or will you continue to work on it? Because it is complicated, will I be charged an additional fee?
Thanks for your help.
Do not accept my answer until you are comfortable with our solution. Once you accept we are done and you owe the fee. We can go back and forth with our discussion until we come to a satisfactory conclusion one way or the other.
The fee does not change no matter what. We can choose just not to continue the discussion.
OK, I will wait until I hear from you to see if you can find anything more than I could.
You are correct. The AZDOR is not very helpful. I think the best answer is found in ITP 99-1. They do not anticipate that there would be a nol for AZ and not for fed. Since the carryback for AZ is by amending the prior year return I would go ahead. I would attach a spreadsheet that calculates the nol similarly to the 1045 calculation.
I am not sure if this really helps. I agree there is truly nothing on point. This is just what I would do.
Thank you Brenda. I have ITP 99-1 and I think Procedure (3)(c) could be read either way. That is what I thought I would do if I could not find anything definite. It can't hurt to try. I guess I just wanted to hear it from another CPA.
I appreciate your help and will accept your answer.