How long can you carry a loss forward?

[ittony]

Until you make a profit that exceeds the balance of your losses or you reach £5m

Year 1 Loss of £1,000
Year 2 Profit of £50 - Retained loss = £950
Year 3 Profit of £300 - Retained loss = £650

and so on

Thanks ladymuck, that's very good to know. In fact it will be quite nice to think that everything I earn for a while now will be effectively tax free.

Ah. The one who wanted a CT refund

https://www.contractoruk.com/forums/...ax-refund.html

"The one"!? Charming. Yes, the loss is largely on account of that written off bad debt.

The other issues my stalker keeps digging out are in connection with a different company, with which the prospective deal didn't come off in the end.

[ittony]

You do know that profit/loss is calculated before dividend distribution don’t you?

I did know that, yes! But thanks anyway.

[northernladuk]

No-one is stalking you. Looking for clarification

I won't go and check NLUK's comments against your posts as you'll think I'm a stalker too.

But you've had a look though haven't you... come on.. admit it...

[ladymuck]

But you've had a look though haven't you... come on.. admit it...

A lady never tells

[Lance]

I did know that, yes! But thanks anyway.

Good. Just checking.

In that case then, as you have made a profit in previous years, why not simply offset current losses against previous profits and get some CT back from the HMRC for this year? Makes far more sense that deferring it for a few years in the future.


EDIT: saw the reason why in an earlier post.

But you do need to consider whether your business is going to profitable ever. Given the current economic situation. Perhaps an open and honest conversation with a professional is the best bit of advice you can get here?