Share Losses Carrying Forward

Sobeboy15

I made some losses on a share sale 24/2/21 I know I can carry forward losses for four years following the loss.  

I just want to check that I should have used this loss in the tax year 24/25 and it cannot be carried forward to tax year 25/26?

Many Thanks in Advance

Capital Gains Tax is crucifying!!!

Isthisforreal99

I think you are getting confused - you have 4 years to claim the loss, i.e. record it with HMRC. Once the loss has been notified to HMRC it can be carried forward indefinitely.

Question is when did you notify HMRC of the loss? If you didn't notify them by 5 April 2025 the loss cannot be used.

FrugaiMacDugal

Isthisforreal99 said:
Question is when did you notify HMRC of the loss? If you didn't notify them by 5 April 2025 the loss cannot be used.

Maybe still ok, the loss was in tax year 20/21

Gov,uk says.

'You do not have to report losses straight away - you can claim up to 4 years after the end of the tax year that you disposed of the asset.'

Isthisforreal99

FrugaiMacDugal said:

Isthisforreal99 said:
Question is when did you notify HMRC of the loss? If you didn't notify them by 5 April 2025 the loss cannot be used.

Maybe still ok, the loss was in tax year 20/21

Gov,uk says.

'You do not have to report losses straight away - you can claim up to 4 years after the end of the tax year that you disposed of the asset.'

So they disposed of it in year ended 5 April 2021 + 4 years = 5 April 2025?

FrugaiMacDugal

Isthisforreal99 said:

FrugaiMacDugal said:

Isthisforreal99 said:
Question is when did you notify HMRC of the loss? If you didn't notify them by 5 April 2025 the loss cannot be used.

Maybe still ok, the loss was in tax year 20/21

Gov,uk says.

'You do not have to report losses straight away - you can claim up to 4 years after the end of the tax year that you disposed of the asset.'

So they disposed of it in year ended 5 April 2021 + 4 years = 5 April 2025?

They are maybe just getting round to doing a SA tax return for 24/25.

Isthisforreal99

FrugaiMacDugal said:

Isthisforreal99 said:

FrugaiMacDugal said:

Isthisforreal99 said:
Question is when did you notify HMRC of the loss? If you didn't notify them by 5 April 2025 the loss cannot be used.

Maybe still ok, the loss was in tax year 20/21

Gov,uk says.

'You do not have to report losses straight away - you can claim up to 4 years after the end of the tax year that you disposed of the asset.'

So they disposed of it in year ended 5 April 2021 + 4 years = 5 April 2025?

They are maybe just getting round to doing a SA tax return for 24/25.

There are 2 elements at play

1) 'Claiming' the loss in the year it arose, i.e. recording it with HMRC as a loss. For those in Self Assessment that would be done in the 20/21 Tax Return, the time limit to complete one is the four years after, i.e. 5 April 2025. So if that loss is not notified to HMRC by 5 April 2025 it is lost
 
2) Claiming tax relief on the loss, that can be done indefintely subject to the loss being timeously notified to HMRC, which hasn't yet been established here.

FrugaiMacDugal

Maybe OP will come back with more info.

Sobeboy15

So unfortunately we haven't notified HMRC the loss occurred in Feb 21.  Looking at the rules it says you have 4 years to notify HMRC of the loss after the year in which it was realised.

Therefore it is as I thought it needed to be notified and used by the 5/4/25.

Note to my self that I need to check these!!  With the CGT allowances diminishing this really comes into play.

Sobeboy15

As a side query I have quite a lot of Tesla shares and wanted to move some from Dealing to ISA doing a Bed and Isa.  

If you do the Buy and Sell on the same day is it free of CGT, or do you have to use the cost of purchase from when you first bought the shares, and the sale on the day of which you sell them which means I have a big capital gain.

DRS1

Sobeboy15 said:

As a side query I have quite a lot of Tesla shares and wanted to move some from Dealing to ISA doing a Bed and Isa.  

If you do the Buy and Sell on the same day is it free of CGT, or do you have to use the cost of purchase from when you first bought the shares, and the sale on the day of which you sell them which means I have a big capital gain.

It is the bit in bold.  The 30 day rule does not apply to a bed and ISA.