Carrying forward losses over multiple years: a bug in the self-assessment form?

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  • Carrying forward losses over multiple years: a bug in the self-assessment form?

    In 2017/18, I made £17,337 profit on my property rentals. However, I had a £40,017 loss from previous tax years to carry over, which should both wipe out my profit for 2017/18 and leave me with a £22,680 remaining loss to carry forward to 2018/19.

    I put this into my self-assessment form, and the website came up with the attached screenshot, which all looks exactly how it should be. Happy days, I thought!

    However, when I clicked "next" I got the following error message: 'Loss brought forward used against this year's profits' must not exceed 'Adjusted profit for the year'. Please amend.

    Aaargh! I then clicked on the help icon next to the "Loss brought forward used against this year's profit" box and it came up with the following (I've put the key sentence in blue text):

    Loss brought forward used against this year’s profit
    Enter any loss brought forward from earlier years up to the amount in ‘Adjusted profit for the year’ .Include any amount brought forward that you're now setting against 2017 to 2018 Income from Property profits. This figure must not exceed the 'Adjusted profit for the year' figure. If your loss is higher than your profit, provide the remaining losses available to carry forward in the 'Loss to carry forward to following year, including unused losses brought forward’.
    That sounds all well and good, but as you can see from the attached screen shot the "Loss to carry forward to following year, including unused losses brought forward" box is not one which permits numbers to be inputted by the user, but is instead (quite sensibly) one which the HMRC website calculates for you based on your previous answers in that section. Aaargh, aargh, aargh!

    Am I missing something obvious, or is this a bug in the HMRC website?

  • AshC
    replied
    Further to my post above, this is also confirmed by HMRC in answer to a forum question:

    https://online.hmrc.gov.uk/webchatpr...list/2792.page

    Leave a comment:


  • AshC
    replied
    Thanks Banzai - I had the same issue and that is how I read the notes that appeared in the question mark on the online form (similar to the note referred to by mjlandlord above but the note is slightly longer for box 39 on the online form). I thought I was going mad so it's assuring to find that I was not the only one panicking!

    Leave a comment:


  • mjlandlord
    replied
    If you click on the ? by the "Loss to carry forward to following year, including unused losses brought forward:"

    it takes you to this page - https://www.tax.service.gov.uk/infor...rryForwardHelp

    this says "If your loss is higher than your profit, provide the remaining losses available to carry forward in the any other information for other property income."

    Leave a comment:


  • Banzai
    replied
    I have just spoken to HMRC on the phone.

    There is a system issue if you try to carry forwards a previous loss when you are also declaring a loss for the current year's return.

    The HMRC operator consulted a technician colleague and the following is the solution offered:

    1) Leave the box "Loss brought forward used against this year's profits" blank.

    2) Click "Save and Continue"

    3) Add comments in the box to explain the previous loss, the current loss and the total loss to be carried over to 2018/19.

    I also made mention that the additional text was agreed during a phone call to HMRC and added today's date.


    I hope this helps.


    Banzai

    Leave a comment:


  • jpkeates
    replied
    You can't do the return online at the moment.

    Leave a comment:


  • Banzai
    replied
    Originally posted by theartfullodger View Post
    It was in the old days (2004-ish?) of paper returns. I corrected by accountants mistake that he had charged for, had him re-submit, sorted.
    Thanks for the reply, still searching for a solution to what should be a straightforward occurrence...

    Leave a comment:


  • theartfullodger
    replied
    It was in the old days (2004-ish?) of paper returns. I corrected by accountants mistake that he had charged for, had him re-submit, sorted.

    Leave a comment:


  • Banzai
    replied
    Originally posted by theartfullodger View Post

    Not necessarily: I stopped using my accountant when he was about to submit my return WITHOUT carrying the loss forward.
    Artful - how did you submit your SA return with the loss carried forward?


    Regards,


    Banzai

    Leave a comment:


  • theartfullodger
    replied
    Originally posted by JK0 View Post

    An accountant.
    Not necessarily: I stopped using my accountant when he was about to submit my return WITHOUT carrying the loss forward.

    Leave a comment:


  • JK0
    replied
    Originally posted by Banzai View Post

    What do I need to do to get the system to accept a total of £20000 to be carried forward to 2018/19?
    An accountant.

    Leave a comment:


  • Banzai
    replied
    Apologies for resurrecting this thread but I have encountered a similar issue and would really appreciate some help....

    2016/17 loss £15000

    2017/18 loss £5000

    What do I need to do to get the system to accept a total of £20000 to be carried forward to 2018/19?


    Many thanks,


    Banzai

    Leave a comment:


  • JamesHopeful
    replied
    Originally posted by Sandi View Post
    I have the same issue and it seems really silly that they have removed the losses brought forward box especially as there is a loss carry forward box.
    thank you, it reassures me to know I'm not the only one

    Leave a comment:


  • Gordon999
    replied
    Better to submit a paper tax return showing the loss carried forward to next year and keep a photocopy.

    Leave a comment:


  • Sandi
    replied
    I have the same issue and it seems really silly that they have removed the losses brought forward box especially as there is a loss carry forward box.

    Leave a comment:

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