If you’re wondering why cash flow still feels tight even after landing a big government contract, here’s the truth: your tax advisor missing NOL carrybacks could be the silent killer of your refund. Most business owners don’t realize it, but the IRS might owe you a five or six-figure check—and you won’t see a dime if nobody’s paying attention.
Let’s break this down like a business owner, not a tax nerd.
What Are NOL Carrybacks—and Why Should You Care?
You know how some years are brutal—COVID shutdowns, delays, inflation eating your margins? In those years, your business may have had a Net Operating Loss (NOL). That means your expenses outweighed your income. Normally, your tax team probably tells you to carry that loss forward and apply it to future profits. Makes sense… if you plan to wait years to see a benefit.
But here’s the smarter play: NOL carrybacks.
Instead of waiting, you can carry those losses back to a previous profitable year—triggering a refund for taxes you already paid. Real money. In your account. Fast.
Now imagine you’re financing a new contract with your own savings, maxing out lines of credit, or floating payroll on borrowed money—when a refund you’re already entitled to could cover it all.
A Contractor Who Almost Missed $228,000
Let us tell you about one of our clients at Icarus Fund. A subcontractor based out of Texas had just been awarded a $4M government contract. Sounds great, right? Except their bank wouldn’t extend the line of credit because of their 2023 losses.
They didn’t know their prior profit years meant they could claim a refund with a NOL carryback. Their original tax preparer skipped right over it—standard process, no review, next client up.
We dug in, did the math, filed using IRS Form 1045, and secured a $228,000 refund in under 60 days. That refund paid for payroll, mobilization, and gave them room to negotiate better vendor terms. That’s what happens when you stop accepting bad advice and let experts extract your buried cash.
Why Most Businesses Miss Out
If your tax advisor is missing NOL carrybacks, you’re not alone. Here’s why it happens all the time:
1. They Don’t Know the Rules Changed
The CARES Act brought back five-year carrybacks for certain tax years. But most advisors got too comfortable with the old forward-only rules. Guess what? That refund window reopened, and most folks are sleeping on it.
2. They Focus on Filing, Not Strategy
A lot of tax work is just data entry—plug numbers in, spit numbers out. There’s no second look at how losses could fuel liquidity. That’s not tax planning. That’s autopilot.
3. No Integration with Financing Goals
If you’ve got awarded contracts but no capital to fulfill them, a refund could be the cheapest financing you’ll ever get. Why use expensive loans when you’ve already overpaid the IRS?
The Hidden Cost for Government Contractors
Government contracts are capital-hungry. You’re paying for materials, labor, insurance, and compliance before you see a dime. Slow payments are standard. So, if your tax advisor is missing NOL carrybacks, it’s not just a missed opportunity—it’s a dangerous cash flow mistake.
At Icarus Fund, we work with businesses just like yours—those who won the work but are struggling to fund it. We’ve built our reputation on unlocking the refunds most firms miss and using that money to help you perform, grow, and win again.
How Icarus Fund Finds What Others Miss
Here’s how we do it differently:
We review your loss years and map them against your prior profitable years.
We handle the filings—including IRS Form 1045—for fast-track processing.
We coordinate your refund with your operational goals, helping you reinvest directly into performance.
One contractor called it “the easiest six figures they’ve ever received.” Another told us, “I would’ve taken out a loan if you hadn’t shown me the carryback play.”
Could You Be Sitting on a Refund Right Now?
Here’s a quick gut-check. If any of these apply to you, you need to talk to Icarus Fund:
You had a net loss in 2020, 2021, or 2022
You had taxable income in any of the five years before that
You recently won a government contract
Your cash flow is tight
Your tax advisor never mentioned NOL carrybacks
If you nodded even once, you’re probably owed money. And the longer you wait, the harder it becomes to recover those refunds before the IRS window closes.
Don’t Let a Missed Refund Derail Your Growth
Too many business owners are out here overpaying the IRS, then taking out loans with double-digit interest to cover basic costs. That’s backward.
Let’s flip that.
Let Icarus Fund review your situation, claim the refund you already earned, and give you the breathing room to grow without giving up equity or drowning in debt.
Time to Fireproof Your Tax Strategy
If your tax advisor is missing NOL carrybacks, that’s not just a small oversight—it’s a massive leak in your financial pipeline. Don’t accept it.
Icarus Fund is here to plug that leak, unlock your refund, and fuel your growth.
🚀 Book a free assessment with Icarus Fund today and find out how much the IRS owes you. It could be the fastest ROI you’ve ever seen.
