The Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L. 116-136, was enacted March 27, 2020, to provide wide-ranging relief to businesses and individuals adversely affected by the coronavirus pandemic. Among its many business tax relief provisions, the CARES Act amended the net operating loss (NOL) rules under Sec. 172 that were previously amended by the law known as the Tax Cuts and Jobs Act (TCJA), P.L. 115-97.
The TCJA eliminated NOL carrybacks and permitted NOLs to be carried forward