Hi, can anyone help?
Looking for clarification on whether particular circumstance constitutes a change in trade and affect on loss relief.
My clients (husband and wife) had run a wholesale fashion business through a Ltd Co.This proved unprofitable and company was made dormant 2 years ago with losses of approx £20k.There are no other creditors save for a director's loan.
The wife decided to work as a fashion consultant but preferred to be on a self employed basis.This is proving profitable and the question is whether to return to the Ltd Co format and in time utilise the losses brough forward if this is allowable?
On a wider scale the husband has another business/company which is in a totally different trade.
Thanks for any input.
Replies (3)
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As they're both involved in the rag trade, I wouldn't think there's a major change, but HMRC might disagree.
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