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Capital loss

A new client didn't inform HMRC of a capital loss last yr do I need to do a SATR for him?

Didn't find your answer?

The client has come to me as he now has a capital gain for 2020/21. He didn't realise he had a capital loss for 19/20 but when I've gone through the records he has.

So given we have only registered for him to need a return for 20/21, do I still submit one for 19/20 showing the loss (as I know we need to claim for it) or should I write to HMRC to inform them of this? Don't want to open a can of worms with late filing penalties for 19/20 if I can avoid it.

Many thanks

Replies (4)

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By gainsborough
03rd Dec 2021 09:21

If he had no need to be registered for self-assessment in 2019/20, you can just write to HMRC with details of the capital loss (up to 4 years after the end of tax year of disposal).

Thanks (1)
By bernard michael
03rd Dec 2021 09:22

Has he got tax to pay for 2019/20 ?? If the answer is yes he may get a penalty but if the capital loss is worth more than the penalty submit the SATR

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Replying to bernard michael:
By chicka
03rd Dec 2021 09:39

No, his other income was only about £8k.

Thank you

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By lionofludesch
03rd Dec 2021 09:25

I'd stick the loss computation on the white space of the 2020/21 return.

Loads of options without filing a 2019/20 return.

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