§ 44-30-87.1 - Net operating loss – Limitation. - Rhode Island Statutes

SECTION 44-30-87.1

   § 44-30-87.1  Net operating loss –Limitation. – A net operating loss deduction shall be allowed which shall be the same as thenet operating loss deduction allowed under § 172 of the Internal RevenueCode, 26 U.S.C. § 172, except that: (1) any net operating loss included indetermining the deduction shall be adjusted to reflect the modificationsincreasing and decreasing adjusted gross income required by §§44-30-12 and 44-30-32; (2) the deduction shall not include any net operatingloss sustained during any taxable year beginning in which the taxpayer was notsubject to the tax imposed by this chapter; and (3) the deduction shall notexceed the deduction for the taxable year allowable under § 172 of theInternal Revenue Code, 26 U.S.C. § 172; provided, notwithstanding anyother provision of law, the deduction for a taxable year may not be carriedback to any other taxable year for Rhode Island purposes but shall only beallowable on a carry forward basis for the number of succeeding taxable yearsallowed under § 172 of the Internal Revenue Code, 26 U.S.C. § 172.