How to use losses carried forward from previous years?

Ok, so I know how to carry forward losses from the year and previous years, but when you get to a year you want to set those old losses against your gains, how do you report it exactly? Do you just enter then on the "Losses brought forward and used in-year" box? Or you need to add them to the "Losses in the year" box among with the actual losses in the year? For example, in case I haven't express myself correctly, if you have 10k losses brought forward from previous years. This year you're filing your tax return having 50k of gains, 5k of losses. Which way of the following two is the correct one? a) Gains in the year: 50000 Losses in the year: 5000 Losses brought forward and used in-year: 10000 or b) Gains in the year: 50000 Losses in the year: 15000 Losses brought forward and used in-year: 10000 Thank you in advance!

The correct entries would be (a). The other will double count the brought forward for relief

Hi Jose Antonio Moray Serrano,
We cannot comment on scenarios, only provide general information / guidance in this forum.
The type of loss being carried forward (captial gains losses, property income losses or trading losses) would be declared in the box for losses carried forward.
Such as box 45 on SA108 (capital gains), box 39 of SA105 (property) , box 33 of SA103S (self employment), box 74 of SA103F (self employment), box 17 of SA104S (partnerships) and SA104F (partnerships).
The loss carried forward that is declared in this box, cannot be more than the profit it is being set against.
Thank you. 

 

That is not my question at all. In fact, I started my message saying I know how to carry losses forward to use the in the future. I want to know, if you have carried losses forward in previous years, when you get to a year when you want to set the against your profits, how do you do it? All talking about Capital Gains Tax. On the self-assesstment (online) there is a box called "Losses brought forward and used in-year: (optional)". Do you simply have to type them there? Or do you also have to add them to the box "Losses in the year: (optional)".

Jose, as before you would only put b/f losses in the "Losses brought forward and used in-year: (optional)" Box as required. The other box is for losses arising in the year. Adding Losses b/f to "Losses in the year: (optional)" will double count the losses and confuse the system I believe that you understand that: - Losses b/f are only used to reduce net gains for the year to the Annual Exemption. - Losses arising in the year go against gains of the year before considering the annual exemption.

Cheers, Alan. I couldn't see your first message when I replied. And I can't see the second now, but just to clarify I was replying to the admin. What you said was what I wanted to know. Thank you very much!

Hi Jose Antonio Moray Serrano

It is losses brought forward and used in year.

Thank you