### Question
How is the term loss corporation defined?


### Answer
The term **loss corporation** is defined in *26 U.S.C. § 382* as the following:

> a corporation entitled to use a net operating loss carryover or having a net operating loss for the taxable year in which the ownership change occurs

#### Citation:
  - *26 U.S.C. § 382*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter C-Corporate Distributions and Adjustments > PART V-CARRYOVERS**

