How to claim Terminal losses as Self Employed

How to claim Terminal losses as Self Employed

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Good monring

Self employed client has retired and made losses about 16k trading no overlaps or gains 23/24.. 

Long term business always paid taxes. 

 How to to claim the terminal losses? write a letter to HMRC or just amend the 22/23 tax return? using taxflier

al ready read this https://www.gov.uk/government/publications/losses-hs227-self-assessment-...

Regards

 

Replies (4)

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By Not Anonymous
25th Apr 2024 09:29

Isn't this still an integral part of the 2023-24 return?

Why would you amend the 2022-23 return?

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Replying to Not Anonymous:
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By nameistaken
25th Apr 2024 10:09

Not Anonymous wrote:

Isn't this still an integral part of the 2023-24 return?

Why would you amend the 2022-23 return?


Which box no please? only see box no 79.. but it does not alter the tax calculations or showing any tax refunds..

Quote:
Loss carried back: terminal loss relief
You can claim relief for losses in the final 12 months of the trade, against profits in the trade in 2021 to 2022, and in the 3 prior years. Start with the latest year. You must also tell us:

that your claim is for terminal loss relief
the amount of loss used for each year
the decrease in tax due for earlier years
Only make this claim if your trade ceased in 2021 to 2022

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Replying to nameistaken:
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By Ardeninian
25th Apr 2024 10:29

nameistaken wrote:

Which box no please? only see box no 79.. but it does not alter the tax calculations or showing any tax refunds..


You need to make the entry in box 79 but also work out the reduction in tax (and class 4 NICs) owing to the carry back and make an entry at box 15 on SA110, if you're calculating the tax.
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Replying to Ardeninian:
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By nameistaken
25th Apr 2024 19:08

Ardeninian wrote:

nameistaken wrote:

Which box no please? only see box no 79.. but it does not alter the tax calculations or showing any tax refunds..

You need to make the entry in box 79 but also work out the reduction in tax (and class 4 NICs) owing to the carry back and make an entry at box 15 on SA110, if you're calculating the tax.


Thanks..
Say I have £10,000 in box 79 SA103Fhttps://assets.publishing.service.gov.uk/media/6602bf99a6c0f7699def9137/...
and £4,000 in box 15 SA110 https://assets.publishing.service.gov.uk/media/660bc040f9ab417b75eea382/...
but the tax calculation still shows £0.00.
Is it normal? the client account will be credited after submission?

Regards

Thanks (0)