Carryover Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Carryover, written in plain English, along with examples of how it is used.

What is Carryover?

(n) Carryover is the practice by which the loss occurred, expenses incurred or permissible deductions available in a particular year is carry forward to setoff them against the future profit so as to reduce the tax burden when the entity start making taxable profit.