negative EBIT - is it taxed

[djadams1260]

If your EBIT is negative, does it get taxed, meaning would you be able to show a tax credit?
For example if you have -$6M in EBIT and the tax rate is 40%, on your cash flows do you show the taxes as -$2.4M (which in essence is a credit)?

[buildersmate]

Well you can certainly offset business losses against tax in the UK, which is effectively what you are asking, but since this is a UK-based site I'm afraid few of us are likely to know what the IRS allows.