I need to amend a tax return older than 12 months by paper

premiumz

Hi,

In my 2020-2021 tax return, I declared a capital loss from listed shares.

Since then, I've had no reason to fill out the capital gains section when submitting my self assessment because there was no capital gains activity.

Fast forward to 2024-2025, there has been some capital gains activity and I now need to fill it in. The gain is under the allowance so my previous losses will not be needed to offset against the gain. However, from what I have read, was I meant to constantly input the 2020-2021 losses every year regardless of activity? I have amended my 2023-2024 tax return online with the losses now but cannot go any further back online. So it looks like I need to write to the HMRC and let them know my 2021-2022, 2022-2023 tax returns need to be amended with the capital losses I had in 2020-2021. I was under the impression that once I declared it, it would automatically be tracked and brought forward each year without me having to input it every time. But I guess I was wrong? Apparently you can amend up to 4 years of accounts by writing to the HMRC, which means I should still be able to amend those returns (2021-2022, 2022-2023)
If this is correct and I should write to the HMRC, what's the address and what do I include in my letter? Will they respond before April? It seems I have until April to amend the oldest account 2021-2022.

Thanks

DRS1

Is this based on something I said elsewhere about including it in the 24/5 return? Or have you found something which says you need to put the loss in each of the intervening years self assessment returns? It seems odd if you have no other reason to include a CGT page but I haven't gone back and read the notes..

premiumz

https://forums.moneysavingexpert.com/discussion/comment/81858295#Comment_81858295

I think what had me worried was, when I searched online about it, some places said you had to fill it in every year to keep track of it for when you want to use it. This made me panic because I had not been putting it in every return as I hadn't needed to use the capital gains section until now.

mybestattempt

https://forums.moneysavingexpert.com/discussion/comment/81858316#Comment_81858316

This guidance suggests, in my opinion, that having reported the unused capital losses brought forward from 2020/21 on the amended 2023/24 return you don't have to do anything for the intervening years:

https://www.gov.uk/capital-gains-tax/losses

I would suggest, having reported the capital losses on the 2024/25 return, that you include in the additional information box a note that the capital losses brought/carried forward relate to unused capital losses arising in 2020/21 and were also reported in the amended 2023/24 tax return.

However, if you're not convinced/still uncertain then a letter to HMRC covering the situation since 2020/21 now would ensure HMRC are in no doubt should you need to utilise the capital losses in the future.

premiumz

https://forums.moneysavingexpert.com/discussion/comment/81858406#Comment_81858406

Thanks. I just got off the phone to them and they did assure me that I do not need to fill in the losses carried forward box every year if there is no need to. They said as long as I have declared them, then it will be logged in their system and I can simply bring the losses forward when/if I need to use them. I think I read a few things online that were miss-information and it made me panic slightly. It had me thinking I was suppose to constant write the losses brought forward box every year regardless if they were being used or not to keep a track record of it. That didn't make sense in my head as I would think as long as it was logged then it's logged. But you read these things and then start to wonder if you have gotten it wrong all this time. Thankfully that's not the case. They said there was no need for me to write to the HMRC to amend previous years either.