Corporation tax - Trading losses carry back to tax paid at marginal rate

If a company makes a trading loss and you want to carry back the loss to previous 12 months but in the previous 12 months you paid tax on trading profits at the new marginal rate, how do you calculate the amount to claim back? Would it be the losses carried back x the effective rate of tax that you paid?

Hi Russell,
You do not need to calculate the amount to claim, you claim back the losses available and this will automatically be set against the profits and rate paid of the previous accounting period.
Thank you. 

 

But if you put in a repayment claim for losses carried back, what rate would you use from the previous accounting period if you paid tax at a mixed rate, for example paid tax at 19% for profits from September 2022 - March 2023 and then paid tax at 26.5% from April 2023 to August 2023?

Hi,
 

When making a loss carry back claim you do not need to specify the rate at which relief will given. The rate used will be rate for the accounting period in which the losses are being utilised. When processing your loss carry back claim HMRC will apply the appropriate rate for that specific period. Thank you .