Self-employment — Profit and Losses
Enter details of the allocation of the trading loss arising during the period.
| Brought forward loss | Enter the amount of any loss brought forward in respect of this self-employment. |
| Brought forward loss set off against current year | If Set off against current year is ticked, calculated as the lower of Brought forward loss, Adjusted profit/ (loss) from Adjustments and nil. If Set off against current year is not ticked, then this figure will be nil. |
| Losses arising in current year | If Adjusted profit/ (loss) from Adjustments shows a loss, then the loss will appear here. |
| Current year loss set against other income | Enter any of losses arising in the current year to be utilised against current year income or gains from other sources. |
| Amount claimed to be carried back to previous years |
Enter any losses arising in the current year to be utilised against income or gains of previous years. For tax years 2020/21 and 2021/22, trading losses can be carried back 3 years. In previous tax years the carry back period was 12 months. There's no limit to the amount of trading losses that can be carried back to the preceding year. However, a separate £2m cap applies to the extended period for carrying back losses. |
| Total losses carried forward | Calculated as the sum of Brought forward loss and losses arising in current year, less Brought forward loss set off against current year, Current year loss set off against other income and Amount claimed to be carried back to previous year. |
Total Taxable Profit
| Adjusted profit | Populated from Adjusted profit/(loss) on the Adjustments tab. If this is a loss, then Adjusted profit is shown as 0. |
| Disguised remuneration additions to profit (removed from 2021-22 onwards) |
Enter here any additions to income required under the disguised remuneration provisions. Note:
Disguised remuneration schemes are arrangements that pay scheme users all or part of their earnings in the form of loans which do not have to be repaid. Any loan balance outstanding at 5 April 2019 which has not been dealt with by agreement with HMRC must be reported on the individual’s tax return. |
| Brought forward loss set off against current year | Populated from Brought forward loss set off against current year, from the Losses section, above. |
| Any other business income not included elsewhere | Enter here any other income of the self-employment which is to be included in the calculation of business income and which has not been included as either disguised remuneration or on any other of the self-employment tabs. |
| Total taxable profit | Calculated as Adjusted profit plus Disguised remuneration additions to profit, plus Any other business income not included elsewhere, less any Brought forward loss set off against current year. |
The information entered in this section will be included on Tax Calculation at Report Preview and will be used to populate boxes 74 to 80 on page SEF4 of the tax return.