Tax

Have a Tax Question? Ask a Tax Expert

Tax

# I am trying to calculate my Modified Taxable Income (MTI) under

part II of 2012 California...
I am trying to calculate my Modified Taxable Income (MTI) under part II of 2012 California Form 3805V to determine use of NOL carryovers for 2012 tax year. I can't seem to figure out how the current year usage is not deducted twice:
3805V, Part II line 1 Taxable Income = Cal AGI less itemized deductions (540 line 17 - line 18) = -740k
then in Part II, line 4 you add back NOL carryover -- but it is the NOL amount before current year's usage or after? Before = 807K, but after = -740k
So, depending on the calculation, my MTI is either \$0 or -67K

How do I calculate MTI on Cal form 3805v?
Show More
Show Less
10/13/2013
Arthur Rubin, Tax Preparer
Category: Tax
Satisfied Customers: 1,561
Experience: 22 years of tax preparation experience, including individual, trust, and estate returns.
Verified

Arthur Rubin :

Thank you for using Just Answer. I understand you have a question about California form 3805V.

Customer:

Yes, I am trying to calculate my NOL usage for my Cal 2012 tax return (due 10/15).

Arthur Rubin :

In Part II, you calculate the MTI (Modified Taxable Income), by adding back the NOL used to calculate the income on Part II line 1.

Arthur Rubin :

So it's the NOL before the current year's usage.

Customer:

I have no current year NOLs, just NOLs from 2008-2011. Ok so -- its total NOLs before usage, correct?

Arthur Rubin :

Yes. The MTI is used to determine the calculation in Part III as to how much of the NOL is to be carried forward to 2013 and succeeding years.

Arthur Rubin :

It doesn't affect anything else on your 2012 return.

Customer:

So, that makes MTI = 67K -- but then when I show that usage in Part III, column f, it reduces the total NOLs down in Part II line 5.

Customer:

OK, so line 5 of Part III is for 2013 return prep?

Arthur Rubin :

Yes, that is correct.

Customer:

I think I understand, but let me confirm this:

Customer:

Confirm this: Part II, line 4 (MTI cal) = Total NOLs before any current year usage and Part III, Line 5 = Total NOLs remaining after current year usage

Arthur Rubin :

Exactly.

Customer:

Cool, you solved, many thanks -- positive feedback will be left of course!

Arthur Rubin, Tax Preparer
Category: Tax
Satisfied Customers: 1,561
Experience: 22 years of tax preparation experience, including individual, trust, and estate returns.
Verified
Arthur Rubin, Tax Preparer
Category: Tax
Satisfied Customers: 1,561
1,561 Satisfied Customers
Experience: 22 years of tax preparation experience, including individual, trust, and estate returns.

Arthur Rubin is online now

A new question is answered every 9 seconds

• Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
• Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

## What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

## Meet the Experts:

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Enrolled Agent

1,300 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Tax Attorney

4,338 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

Robin D.

13,980 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Certified Public Accountant (CPA)

8,651 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

R. Klein, EA

Enrolled Agent

1,839 satisfied customers

Over 20 Years experience

< Previous | Next >

Related Tax Questions
I am disabled, i have no taxable income but i was told that
hi, i am disabled, i have no taxable income but i was told that i could get the proff of all the medication i had to buy this and get money back … read more
Robin D.
13,980 satisfied customers
If you are a single member S-Corp and taxable income is over
If you are a single member S-Corp and taxable income is over \$315K and business is a service industry so would not get the 20% deduction under new tax reform, would changing to a C-Corp help pay less … read more
Master's Degree
180 satisfied customers
I don't think our new CPA is setting up our taxable income
hi, I don't think our new CPA is setting up our taxable income correctly for owner/ employer wages on a SUB S LLC in Texas … read more
Mark Taylor
Certified Public Accountant
Masters
2,280 satisfied customers
Have a tax question about what is considered taxable income.
Have a tax question about what is considered taxable income. What is your fee? … read more
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
1,074 satisfied customers
If I am reviewing my 2016 Income Tax Returns, which are
If I am reviewing my 2016 Income Tax Returns, which are itemized. (Married, 2 children)Add Line 40 (Itemized Deduction) + Line 42 (Exemptions (\$4050 x 4 = \$16,200)) which I would subtracted from Line … read more
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
1,074 satisfied customers
FOR GUILLERMO: What line on the 1040 income tax return is
FOR GUILLERMO: What line on the 1040 income tax return is used to determine the sponsor's income for Form I-864? Is it line 22: TOTAL INCOME? Or, line 37, ADJUSTED GROSS INCOME?… read more
Master's Degree
180 satisfied customers
How is the California state income tax calculated? I have
How is the California state income tax calculated? I have approximately \$55,000 of income before deductions. I am married filing jointly.… read more
Mark Taylor
Certified Public Accountant
Masters
2,280 satisfied customers
Regarding Federal tax income Form 4952, should I expect my
Regarding Federal tax income Form 4952, should I expect my client to provide me a form to help me fill out line 1 for "investment interest expense paid"? And if so what is the form number?… read more
abci168
Principal
27 satisfied customers
Suppose my taxable income in 220,000 this year and the tax
Suppose my taxable income in 220,000 this year and the tax rate is X up to 200K, but Y for 200and over, do I pay Y on the full 220K or just that above 200K? … read more
Master's Degree
180 satisfied customers
Under current law a 100,000 taxable income pays \$10,365 plus
Under current law a 100,000 taxable income pays \$10,365 plus 25% of the amount exceeding \$79,400 i.e. about \$16,000. Under tax reform will the tax be \$25,000? … read more
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
If your taxable income is \$0 (actually negative) is there a
If your taxable income is \$0 (actually negative) is there a penalty for late filing? Do you need to file at all? What is the 2016 filing deadline with an extension?… read more
Barbara
Enrolled Agent, Paralegal
3,797 satisfied customers
For a California trust's final return there will be unused
For Barbara: For a California trust's final return there will be unused capital losses left over. All the beneficiaries are California resident individuals. The trust is administering a decedent's est… read more
Master's Degree
180 satisfied customers
Is an inheretance taxable income. What do you want to know?
What do you want to know? My question: is an inheritance a taxable income? … read more
abci168
Principal
27 satisfied customers
I have no taxable income. I am 60 years pf age and a
I have no taxable income. I am 60 years pf age and a caregiver to my special needs daughter. She has a trust fund which pays me to be able to stay home and not work. I also receive SSI for being mothe… read more
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
A friend receives taxable income that he can characterize
A friend receives taxable income that he can characterize EITHER as self-employment or non-SE. If he chooses the SE route, it will increase his Social Security payment, almost immediately as he is on … read more
Mark Taylor
Certified Public Accountant
Masters
2,280 satisfied customers
Undistributed taxable income previously taxed. Have 3
Undistributed taxable income previously taxed. Have 3 shareholders with balances due to them from previous years. Can it be paid all in one year to bring their amounts owing to zero until the next pro… read more
Mark Taylor
Certified Public Accountant
Masters
2,280 satisfied customers
Lev, where in the california return form 100s one report the
Good evening Lev, where in the california return form 100s one report the tax withholding from 1099k. Does this tax withholding flows through personal tax return or applies towards 100s estimated paym… read more
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I filed a joint return through TurboTax. My taxable income
I filed a joint return through TurboTax. My taxable income was \$87,829. Using the IRS's published tax rate schedule, the tax I owe should be \$13,499.25. TurboTax calculated I owe \$17,787 (this compare… read more
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less