RVDA has joined more than 75 Net Operating Loss Coalition partners to support federal legislation that would extend the net operating loss (NOL) period for small businesses.
According to RVDA, an extended NOL carryback period is a proven economic stimulus measure that can deliver “vital help to our nation’s struggling economy.” Extending the carryback period to five years would allow companies to carry back losses to earlier profitable years.
RVDA is urging members to contact their congressmen and recommends using the following terminology:
• Extend the NOL carryback period to five years (from current two years) for 2008 and 2009.
• NOL carryback is a proven tool for restoring jobs.
• This relief will get cash now to NOL companies that otherwise would have to wait until future years to use their NOLs.
• This relief is “targeted, timely, and temporary” – criteria many economists use for assessing economic recovery proposals.