Form 1045: Application For Tentative Refund

AAA

DEFINITION of 'Form 1045: Application For Tentative Refund'

A tax form distributed by the Internal Revenue Service (IRS) and used by individuals, estates and trusts to apply for a tax refund. Form 1045 is used to request a refund resulting from either a carryback of a net operating loss (NOL), unused business tax credit or net section 1256 loss, or from a tax overpayment. Instructions for Form 1045 indicate what qualifies as a loss.

INVESTOPEDIA EXPLAINS 'Form 1045: Application For Tentative Refund'

Tax payers should be careful when carrying back net operating loss (NOL) to a previous tax year because it may create an alternative minimum tax (AMT) obligation. This can be created even if there was no AMT owed in the previous period.

RELATED TERMS
  1. IRS Publication 536 - Net Operating ...

    A document published by the Internal Revenue Service (IRS) that ...
  2. Alternative Minimum Tax - AMT

    A tax calculation that adds certain tax preference items back ...
  3. Loss Carryforward

    An accounting technique that applies the current year's net operating ...
  4. Loss Carryback

    An accounting technique with which a company retroactively applies ...
  5. Net Operating Loss - NOL

    A period in which a company's allowable tax deductions are greater ...
  6. Working Tax Credit (WTC)

    A tax credit offered to low-income individuals working in the ...
Related Articles
  1. Deducting Disaster: Casualty And Theft ...
    Taxes

    Deducting Disaster: Casualty And Theft ...

  2. 10 Steps To Tax Preparation
    Taxes

    10 Steps To Tax Preparation

  3. Tax Credit For Plan Expenses Incurred ...
    Entrepreneurship

    Tax Credit For Plan Expenses Incurred ...

  4. 5 Tax Credits You Shouldn't Miss
    Taxes

    5 Tax Credits You Shouldn't Miss

Hot Definitions
  1. Halloween Strategy

    An investment technique in which an investor sells stocks before May 1 and refrains from reinvesting in the stock market ...
  2. Halloween Massacre

    Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, ...
  3. Zombies

    Companies that continue to operate even though they are insolvent or near bankruptcy. Zombies often become casualties to ...
  4. Witching Hour

    The last hour of stock trading between 3pm (when the bond market closes) and 4pm EST. Witching hour is typically controlled ...
  5. October Effect

    The theory that stocks tend to decline during the month of October. The October effect is considered mainly to be a psychological ...
  6. Repurchase Agreement - Repo

    A form of short-term borrowing for dealers in government securities.
Trading Center