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Posted Sun, 07 Jan 2024 15:20:14 GMT by LisMur
Hi, I've made small losses ( approx £1000 in total ) over the past 2 years of a new sole trader business. This year I'm in profit £700 for the first time however I'd like to carry forward the 20/21 & 21/22 losses to net the 22/23 £700 profit. BUT although the losses have been reflected correctly in Box 32 of the previous two years SA's. I did NOT fill in Box 35 to enable me to carry forward these Box 32 accumulative losses (a complete novice oversight). Does this mean I cannot offset any of this £1000 20/21 & 21/22 loss to 22/23 SA in order to reduce tax owed this year? Have I messed up? Can I/should I amend this box on 20/21 & 21/22 retrospectively before I complete my 22/23 SA? Or can I use these losses this year to net my £700 profit regardless of the previous years box 35's being empty? Please help :)
Posted Fri, 12 Jan 2024 07:12:04 GMT by HMRC Admin 25
Hi LisMur,
You will need to amend your tax return to declare that you want to set the carried forward losses against your 22/23 profit.
You would enter the loss carried forward in box 29 of on page SES 2 of SA103S or the equivalent box on the online tax return.
The figure in this box cannot be more than the profit in 22/23.
The remaining losses if any can be carried forward again.
Self-employment (short)
Thank you. 

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