How long to wait between filing 2nd year return?

[jklcpa]

I have a fiscal year C corp client that has large NOL carryforwards from earlier years and has not filed the 2019 return that also has a loss that will come forward.  The 2020 return's extension is valid through 3/15/22.  

Both returns will be e-filed. Whenever I've had this in the past, I used to wait 6-8 weeks between returns to make sure the earlier one was processed before filing the next year's return.  Now I'm unsure with the IRS backlog and its issuing of notices when one cannot as easily reach an agent should something be questioned.

Tax year 2020 books have a loss, but because of unpaid accruals not deductible under sec 267, that add-back will create a small amount of taxable income before any NOL, and the NOL to be used will be from a much earlier year, not from 2019, but still....

How long would you wait to file 2020 if this were your client?

[Lee B]

It's anybody's guess, but if you can extend 2020 until 3/15/22, I would wait for 3 months ?

[JackieCPA]

I've never waited before, just e-filed them both right away and haven't had any issues. 

[DANRVAN]

11 hours ago, jklcpa said:

How long would you wait to file 2020 if this were your client?

As soon as you have the return prepared and ready to file (and after the 2019 is filed).

I do not see any reason to wait, and prefer not to sit on it.

 

 

 

[Catherine]

I'd wait until I got an ack acceptance back on the 2019, and then e-file. The service will sort it out eventually.