Table 1. Worksheet for NOL. Carryover From 2015 to 2016 (For an NOL Year Before 2015)

Summary: This is an example of the worksheet used to figure the net operating loss carryover from 2015 to 2016. A Note on the bottom of the form states: “If you choose to waive the carryback period, and instead you choose to only carry your 2015 NOL. forward, use Schedule A, Form 1045 to compute your 2015 NOL. that will be carried over to 2016. Report your 2015 NOL. from line 25, Schedule A, Form 1045, on the other income line of your 2016 Form 1040 or Form 1040NR, or the line on Form 1041 for deductions NOT subject to the 2% floor in 2016.” The line items to be completed are:

NOL. YEAR” field
Under“Use Your 2015 Form 1040, Form 1040NR (or Form 1041) to Complete This Worksheet:
1. Enter as a positive number your NOL. deduction for the NOL. year entered above from line 21 (Form 1040 or Form 1040NR) or line 15a (Form 1041)” field
2. Enter your taxable income without the NOL. deduction for 2015 (See instructions.)” field
3. Enter as a positive number any net capital loss deduction” field
4. Enter as a positive number any gain excluded on the sale or exchange of qualified small business stock” field
5. Enter the amount of any domestic production activities deduction” field
6. Enter any adjustments to your adjusted gross income (see instructions)” field
7. Enter any adjustments to your itemized deductions from line 33 below (see instructions)” field
8. Enter your deduction for exemptions from line 42 (Form 1040), line 40 (Form 1040NR), or line 20 (Form 1041)” field
9. Modified taxable income. Combine lines 2 through 8. Enter the result (but not less than zero)” field
10. NOL. carryover to 2016. Subtract line 9 from line 1. Enter the result (but not less than zero) here and on the other income line of Form 1040 or Form 1040NR (or the line on Form 1041 for deductions NOT subject to the 2% floor) in 2016” field
Under“Adjustments to Itemized Deductions (Individuals Only):
11. Enter your adjusted gross income without the NOL deduction for the NOL year entered above or later years. (See instructions.)” field
12. Combine lines 3, 4, 5, and 6 above” field
13. Modified adjusted gross income. Combine lines 11 and 12 above” field
Under“Adjustment to Medical Expenses:
14. Enter your medical expenses from Schedule A (Form 1040), line 4” field
15. Enter your medical expenses from Schedule A (Form 1040), line 1” field
16. Multiply line 13 above by 10% (.10); but if either you or your spouse was born before January 2, 1951, multiply line 13 by 7.5% (0.75)” field
17. Subtract line 16 from line 15. Enter the result (but not less than zero)” field
18. Subtract line 17 from line 14” field
Under “Adjustment to Mortgage Insurance Premiums.
19. Enter your mortgage insurance premiums deduction from Schedule A (Form 1040), line 13”field
20. Refigure your mortgage insurance premiums deduction using line 13 above as your adjusted gross income. (See instructions.)”field
21. Subtract line 20 from line 19” field
Under“Adjustment to Charitable Contributions:
22. Enter your charitable contributions deduction from Schedule A (Form 1040), line 19, or Schedule A (Form 1040NR), line 5” field
23. Refigure your charitable contributions deduction using line 13 above as your adjusted gross income. (See instructions.)” field
24. Subtract line 23 from line 22” field
Under“Adjustment to Casualty and Theft Losses:
25. Enter your casualty and theft losses from Form 4684, line 18” field
26. Multiply line 13 above by 10% (.10)” field
27. Subtract line 26 from line 25. Enter the result (but not less than zero)” field
Under“Adjustment to Miscellaneous Deductions:
28. Enter your miscellaneous deductions from Schedule A (Form 1040), line 27, or Schedule A (Form 1040NR), line 13” field
29. Enter your miscellaneous deductions from Schedule A (Form 1040), line 24, or Schedule A (Form 1040NR), line 10” field
30. Multiply line 13 above by 2% (.02)” field
31. Subtract line 30 from line 29. Enter the result (but not less than zero)” field
32. Subtract line 31 from line 28” field