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Step 1
Determine whether or not you need to use Form 1138. You will have to definitively determine if your company is operating at a net loss for the current tax year. This coupled with having outstanding taxes liabilities form the prior year will qualify you to use Form 1138.
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Step 2
Obtain the form from the Internal Revenue Service. Go to the IRS website (see below) and download Form 1138. Make sure you download the form entitled "Extension of Time for Payment of Taxes by a Corporation Expecting a Net Operating Loss Carryback."
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Step 3
Provide your basic identification information. Basic identification information includes your company's name address and employer identification number.
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Step 4
Insert the tax year ending date for which you are filing Form 1138. Advise the government of the expected net operating loss anticipated for the tax year.
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Step 5
List the previously determined taxes that are attributable to the net operating loss carryback. For further instruction on how to determine this figure, review the instructions, which accompany Form 1138.
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Step 6
Give the tax year date immediately prior to the year of the net operation loss and explain why your company is operating at a loss.
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Step 7
Calculate the amount for which payment can be extended. To do this add last year's tax liability plus interests/penalties and subtract the amount your company has paid. The remaining amount is subject to Form 1138's tax extension.
