(a) Except as provided in subsection (c), the portion of a net operating loss sustained in any taxable year, allocable to the City, may be applied against the portion of the profit of succeeding years allocable to the City until exhausted, but in no event for more than five taxable years. No portion of a net operating loss shall be carried back against net profits of any prior year.
(b) Except as provided in subsection (d), the net profits and losses sustained by a taxpayer from business activities subject to the City tax, other than from the taxpayer’s principal source of income, shall be aggregated for each of the taxpayer’s tax years. If the result of such aggregation is a net profit, tax will be imposed and paid on the net profit. If the result of such aggregation is a net loss, the net loss may be carried forward to any of the succeeding five years and may be used against an aggregate net profit for any of these five succeeding tax years.
(c) Effective with the tax year of 2009, and each year thereafter, the portion of a net operating loss sustained in any taxable year, allocable to the City, may be applied against the portion of the profit of succeeding year allocable to the City until exhausted, but in no event for more than three taxable years. No portion of a net operating loss shall be carried back against net profits of any prior year.
(d) Effective with the tax year of 2009, and each year thereafter, the net profits and losses sustained by a taxpayer from business activities subject to the City tax, other than from the taxpayer’s principal source of income, shall be aggregated for each of the taxpayer’s tax years. If the result of such aggregation is a net profit, tax will be imposed and paid on the net profit. If the result of such aggregation is a net loss, the net loss may be carried forward to any of the succeeding three years and may be used against an aggregate net profit for any of these three succeeding tax years. (Ord. 091-08. Passed 1-5-09.)