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Posted Tue, 24 Dec 2024 14:48:23 GMT by Hodge
I have some questions about carrying over capital losses between years, and how to record this on the self-assessment forms During 2021/22 I made £8,000 gains and £12,000 losses through buying and selling shares. Since my total capital gains were below the £12,300 threshold for that year, can I carry over the £12,000 of losses into the next tax year? Or do I have to reduce my gains to £0 first, and only carry over £4,000 of losses. During 2022/23 I made £16,000 gains and £22,000 losses. This time my gains are above the threshold so I'd need to reduce my gains by at least £3,700 to get to the £12,300 CGT threshold. But do I use losses incurred during 2022/23 first? Or losses carried over from the previous year? If I'm not using any losses carried over from the previous year, do I record these anywhere of the self-assessment form? It looks like they need to be included in the box titled "Losses available to be carried forward"? There is a box called "Losses brought forward and used in-year" but if I'm not actually using them, I leave this box blank? Thanks
Posted Fri, 10 Jan 2025 16:06:27 GMT by HMRC Admin 20 Response
Hi,
The in year losses would need to be used first even if it means you lose out on the annual allowance so yes, only £4000 of losses are available for later years.
You can use the losses when you need them so you can use the £3700 to bring you in line with the annual allowance for 22/23.
Thank you.

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