Capital Allowance Query

[ian46]

Hello from a newbie and first year ses user

I've pretty much done all the filing of my accounts for the year and it would seem that i won't be paying tax, well it is my first year.

I'm a freelance photographer and was a keen amature before going self employed in 2010. I brought in the business say for easy counting 5k's (which liable to a mark down of 20%) worth of equipment and bought a further 5.5k of new stuff in the trading year. If I include all of this in the capital allowance's for the year the business is at a loss of 8k, but if i don't I still haven't made enough to pay any tax.

How many years are you allowed to carry these item over and I understand I'd have to mark the new equipment down next year

This years trading has been tough but it looks like I'll still be borderline in paying tax so would it better to declare some of it in next years return?? Or am I just rambling now??

thanks for your help in advance

[tom 7000]

You create the loss in 2011 and can offset it against either

1) Other income in the year
2) Income in 2010
3) Income in 2008 then 2009 then 2010

Depending on whats best