carrying forwards tax losses

[drmatt]

hi

quick question

i made a loss last year through self employment and it looks like I will do the same in 12-13.

I have also taken a PAYE part time job in the 12/13 year. so my question is.

can I carry the losses from the previous year forwards, and still offset the 12/13 loss against the PAYE income in the same year.

then carry any remaining loss from 11/12 forwards to future years?

i know I can only offset S/E losses against PAYE in the SAME year, but want to know what the best thing to do with the losses carried forwards.

i assume i can only use the loss for 12/13 against PAYE until that loss is zero.. so does that mean I just carry the entire 11/12 loss forwards to 13/14?

any advice is much appreciated.

regards

matt

 

[DB74]

Self-assessment losses can be used against other income in the same tax year, otherwise they have to be carried forward and can only be offset against future profits from the same trade.

So if you had a self-assessment loss in 2010 and also in 2011, the 2010 loss gets carried forward to 2012 and the 2011 loss can be offset against 2011 PAYE income

You should clarify your tax years though. The tax year is the same as the calendar year now so 12/13 etc doesn't make sense