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How to treat previous year's loss

How should I treat previous years loss in current year end account?

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I made a loss about £20.000 in the previous years' accounts. How should I treat this in my current year end accounts? I funded £6000 of this amount myself, £4000 of this figure is still owed to creditors falling one year and the remaining £10000 is owed to other debtors falling after a year.

Thanks for your help.

Replies (35)

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By Tim Vane
08th Sep 2017 11:31

The only sensible advice here is exactly the same as that given to your last query:

Talk to an accountant.

This is NOT the correct forum for you.

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By Tim Vane
08th Sep 2017 11:31

Duplicate post.

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By zaslandok
08th Sep 2017 11:44

So I should go to an accountant? is that the advice? If I read my post, I could easily say the same thing. If you know any better than me then show me, otherwise, I don't need such advice.

However, thanks for sparing minutes of your clearly expensive and busy time for stopping here and writing something which doesn't really help anyone, unless you enjoy talking but saying nothing.

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Replying to zaslandok:
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By Tax Dragon
08th Sep 2017 11:51

That is the advice; it's good advice at that. It's for your own good. Follow it.

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Replying to zaslandok:
Stepurhan
By stepurhan
08th Sep 2017 11:59

zaslandok wrote:

So I should go to an accountant? is that the advice? If I read my post, I could easily say the same thing. If you know any better than me then show me, otherwise, I don't need such advice.


No you do need that advice. You're not going to take it, because you don't want to pay for advice, but you do need it.

By setting up as a company (which has more complex accounting) instead of a sole trader you have created the problem you now have. Had you taken advice at the start you wouldn't be here now.

No-one is under any obligation to help you sort your mess out for free. Stop acting like they are.

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By zaslandok
08th Sep 2017 12:37

Thank you for your comment. No one is under any obligation to help me, I agree. I asked a question, If you know the answer and would like to share it with me you are more than welcome. If you know the answer but don't want to share it with me that's fine, too. All I am saying let's just not waste each others time for no productive conversations.

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By andy.partridge
08th Sep 2017 12:03

On this occasion the advice to see an accountant is the best one. The questions you have asked and the way they are worded means that it is impossible to answer in the way you want.

It is clear to me that there are fundamental problems with your understanding that a little answer on here, however well meaning, would do you more harm than good. For example, let's say your car broke down. The best I could do would be to offer you a can of petrol when what you really need is a consultation with a mechanic.

The reason you don't appreciate the advice is because your lack of knowledge prevents you seeing the scale of the problem. I can understand you want a quick solution, but it won't be available here. Sorry.

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Replying to andy.partridge:
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By zaslandok
08th Sep 2017 14:58

I have just spoken to the Companies House. I explained what I did and they helped me out of my frustration. On the other hand, it was an interesting experience asking a question here. I am a digital designer we use various forums to seek information about a script sometimes or how to create a digital effect etc. but no one really says that I created a mess and should go to hire another designer. Thanks, anyway.

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Replying to zaslandok:
Stepurhan
By stepurhan
08th Sep 2017 16:09

zaslandok wrote:
I am a digital designer we use various forums to seek information about a script sometimes or how to create a digital effect etc. but no one really says that I created a mess and should go to hire another designer.

Are these forums solely frequented by other digital designers seeking to ask questions of their peers?

Do you have members of the public asking you how to digital design from scratch? If so, do you share your professional knowledge to help them no matter how little they know? If they say that they have created their design to date using Word and Paint, do you not advise them to seek a professional instead?

Because if there are sites where I could get a free education in digital design, despite currently knowing next to nothing about the subject, I'd be interested in links.

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By zaslandok
08th Sep 2017 16:38

Of course, for example; I am not great at coding but from time to time I need to do bits and pieces on websites and I ask questions and get answers. I also see people who got no idea about what they are saying but they still get the help in either explanation or with helpful links.
If you would like to improve your digital design skills I can suggest these youtube channels;
https://www.youtube.com/user/ECAbrams/playlists
https://www.youtube.com/user/terrywhitetechblog/playlists
https://www.youtube.com/channel/UC7Q3kTW31Zey79mrYaB6Pug
https://www.youtube.com/channel/UCF2Y92xJORglC1xLO_zyObQ
https://www.youtube.com/user/creativecowofficial/playlists

These links will give you more than enough information.
Enjoy:)

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Replying to zaslandok:
Stepurhan
By stepurhan
08th Sep 2017 17:07

zaslandok wrote:
If you would like to improve your digital design skills I can suggest these youtube channels;
I don't want links to Youtube channels. I want links to forums where I can raise questions as someone who doesn't know the subject and get answers from experts in the field.

That is what you are doing here. That is what you are claiming I can do on these forums you frequent. Was that true, or are those forums only really for people that know a reasonable amount about the subject already? (as this forum is for accounting professionals)

Sorry to harp on about this. You are not the first person to claim that they'd hand out free advice on their specialist field when they don't get the answer they want here. I have yet to see one whose claims stood up to scrutiny when pressed.

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By catlady
08th Sep 2017 17:07

zaslandok wrote:

I am a digital designer we use various forums to seek information about a script sometimes or how to create a digital effect etc. but no one really says that I created a mess and should go to hire another designer. Thanks, anyway.


Ahhhh.. you see this is the issue!

This forum is for accounting professionals to ask questions of other accounting professionals, just like on your designers forum. It assumes a good knowledge of accountancy so that we can discuss the fine details of an issue, not explain the basic concepts of balance sheets etc - that would take years of study and experience!

Your question is impossible to answer in a forum situation, no one is being rude suggesting you see an accountant, it is what you really need to ge sure to get the correct answer for your unique situation!

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By Tim Vane
08th Sep 2017 11:53

(sigh)

Yes, you need to see an accountant. Your succession of rambling posts indicate clearly that you are out of your depth and have no clue what you are doing.

I am helping you the best way that anybody can by telling you to pay for professional advice.

You also appear to be in denial, which is another reason it is impossible to help you.

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By zaslandok
08th Sep 2017 12:46

I wasn't trying to give you a grief. I accept this isn't my field but I just asked a question that's all.Take it easy:)

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By kaff
08th Sep 2017 12:12

Your PY P&L loss had a corresponding double entry somewhere in your accounts. The brought forward balance on the relevant ledger should already reflect the PY loss. No? I'd also recommend paying a professional adviser.

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Replying to kaff:
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By zaslandok
08th Sep 2017 12:56

Thank you for your helpful approach.
py was my first year basicaly, I made a loss (20K) in my first year, I funded this 6K of this loss myself plus 10K from other debtors and the remaining 4K was for the goods and services I purchased. I put my funds as called up and paid share capital (6K) the rest was in my liabilities.(Creditors falling due within one year and more than one year.) I just wanted to know where to put this loss in the current years accounts.

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Replying to zaslandok:
By Ruddles
08th Sep 2017 13:09

I'll be kind. Why do you think a loss arising last year should appear in this year's accounts?

Now, go and speak to an accountant.

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Replying to Ruddles:
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By zaslandok
08th Sep 2017 14:33

Best answer ever. Made me feel stupid:) Really, why!!!
Thanks, a lot.

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By Ruddles
08th Sep 2017 12:23

Friday funnies

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Out of my mind
By runningmate
08th Sep 2017 12:47

A variety of respondents have given you the same advice. Do you think all of them are being deliberately awkward or unhelpful? Or could it be that they are all giving you good advice?
By the way, debtors are people who owe money to the company. People that the company owes money to are called creditors. That is just one of your fundamental misunderstandings of accountancy matters.
RM

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By Jackie0802
08th Sep 2017 12:53

runningmate wrote:

By the way, debtors are people who owe money to the company. People that the company owes money to are called creditors. That is just one of your fundamental misunderstandings of accountancy matters.
RM

I didn't have the heart to point that out.

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By zaslandok
08th Sep 2017 13:06

:))) I just corrected it.

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Replying to runningmate:
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By zaslandok
08th Sep 2017 13:03

Oh no, definitely not. I just noticed that mistake I made in the definition.
I read quite many questions on this platform and I see that most people tend to advise things that don't respond to the original question. On the other hand, I see that there are people who come up with great solutions, too.
Whether I like it or not I truly appreciate all the answers and thank you for that. I hope, I don't sound grumpy, that much:)

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By Portia Nina Levin
08th Sep 2017 13:13

"Stupidity is something that cannot be taught, but which many manage to master, with a little help from the internet." - Confucius

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By zaslandok
08th Sep 2017 15:38

Thanks for all of you for your valuable contribution.
I have found my answers and finally sorted my year end account perfectly in balance.
This case is now closed.

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Replying to zaslandok:
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By Briar
08th Sep 2017 15:52

We all await your next question with trepidation!!

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Replying to zaslandok:
By Tim Vane
08th Sep 2017 16:03

zaslandok wrote:

I have found my answers and finally sorted my year end account perfectly in balance.

Smile and wave boys.
Smile and wave.

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By DonDan
08th Sep 2017 16:03

This is fun for a Friday if nothing else. Has anyone else checked out the company accounts? they make for an interesting read

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By Matrix
08th Sep 2017 16:18

All that money spent on penalties instead of professional advice.

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By justsotax
08th Sep 2017 16:24

lets hope it was the correct answer, rather than the one that just balanced the account so that it got accepted.

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By Ruddles
08th Sep 2017 16:30

Looking at the accounts, if he's did as he suggests the accounts will be even more wronger than they was before.

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By Matrix
08th Sep 2017 16:41

And the kind lady at Companies House did not point out that the issued share capital does not agree to the accounts.

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By Ruddles
08th Sep 2017 16:48

Which is the frustrating point - they'll accept any old 5h1te, but try signing the accounts in blue ink ...

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By mrme89
08th Sep 2017 16:54

Just because the accounts balance, it doesn't mean they are correct. In fact, they can be very far away from being correct and still balance.

But as long as you think it's ok, that alright.

When you get stung with a shed load of penalties and interest, will you appoint someone then? Or will you carry on digging?

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By Wanderer
08th Sep 2017 18:01

OP

Looking at your company's record at Companies House with issues such as:-

a) Your accounting policies
b) The Turnover note shown in your accounts.
c) Your confirmation statement which is incomplete.
d) The 100 issued shares shown on your Annual Return compared with the 5,909 shown in your accounts.
e) The £750 late filing penalty that you are about to incur.

& probably a lot more If we delved even further.

you really, do need to stop winging it & get some proper advice.

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