CA for first year of trading, losses and carryback/fwd | AccountingWEB

CA for first year of trading, losses and carryback/fwd

As a Sole trader (who is also employed under PAYE and in need of an accountant!), built up contacts, bought equipment and set up websites before trading in 2011/2012.

SE Business is a mixture of consultancy, training and multi-media work including photography, video, designing websites and publishing in technical and national journals.

Under self employment clients paid £1500 in 2011/2012.

Expenses such as utilities, mileage allowance only for business miles (not commuting to employee workplace) understood.

Given the large investment made in audio/photographic equipment, software, and relatively small income return, what can be taken as AIA/FYA - a significant amount of  equipment was bought before April 2011 and some in that tax year.  The latter amounted to approximately £3000 whilst the former (including office furniture) is around £12500.

Can any other start up costs like website hosting fees, advertising costs from previous years be included?


Once the loss is calculated what is better -


1. claim £1500 for 2011/2012 and carry fwd the remainder at WDA 18%

2.claim all losses for that TY - doesn't this affect PA?

3. claim £1500 for TY and remainder offset against PAYE income of previous year?

Many Thanks












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mhtax |

Many thanks mhtax

ecojet |

No choice

mhtax |

Thanks mhtax,

ecojet |

Loss first

mhtax |