HB642
Remove limit on certain tax net operating loss carry-forwards
Current Status: Introduced In House
Summary
This bill amends sections of the Ohio Revised Code to remove the five-year limit on municipal income tax net operating loss carry-forwards, allowing taxpayers to carry forward losses indefinitely until fully utilized. It applies to individuals and entities subject to municipal income tax and affects the calculation of municipal taxable income.
Rationale
The bill supports economic liberty by allowing businesses and individuals to utilize tax losses without a time limit, which aligns with the Libertarian principles of free markets and property rights. However, it still involves government regulation of taxation, which may not fully align with the Libertarian Party's emphasis on minimal government intervention.
Risks and Concerns
- Potential for increased government involvement in tax regulations
- May lead to unintended consequences in municipal tax revenues