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Where Taxpayers and Advisers Meet

CGT Loss timescales

david@deansca.co.uk
Posts:23
Joined:Wed Aug 06, 2008 3:15 pm
CGT Loss timescales

Postby david@deansca.co.uk » Fri Feb 23, 2018 10:19 am

Hi

We have a new client who did their own tax returns in the past and omitted cgt losses from the return. These losses are 6 & 8 years old, so out of time per HMRC. I know it is a long shot but is there any way to claim these?

Thanks

David

RMC
Posts:435
Joined:Wed Aug 06, 2008 3:35 pm

Re: CGT Loss timescales

Postby RMC » Mon Feb 26, 2018 12:42 pm

If your firm lost the sale and purchase documentation, try to obtain copies. If the assets in question were land or property, ask the client to obtain copies from his solicitors (and apologise).

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: CGT Loss timescales

Postby bd6759 » Mon Feb 26, 2018 5:33 pm

If your firm lost the sale and purchase documentation, try to obtain copies. If the assets in question were land or property, ask the client to obtain copies from his solicitors (and apologise).
The time limit for claiming losses is 4 years. If they have not been claimed they are lost.

Stats
Posts:12
Joined:Mon Mar 05, 2018 10:07 pm

Re: CGT Loss timescales

Postby Stats » Sun Mar 11, 2018 9:19 pm

As a taxpayer as opposed to professional, I too would appreciate views.
I note this extract from TCGA92/S24(2) "There is no requirement to make a claim within a specified time of the asset having become of negligible value".

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: CGT Loss timescales

Postby bd6759 » Mon Mar 12, 2018 1:04 am

Yes, but claiming that an asset has negligible value is not the same as claiming a loss that you have made on the disposal of an asset.

Losses are cvoered at s16 TCGA 1992, particularly 16(2A)
"(2A) A loss accruing to a person in a year of assessment shall not be an allowable loss for the purposes of this Act unless, in relation to that year, he gives a notice to an officer of the Board quantifying the amount of that loss; and sections 42 and 43 of the Management Act shall apply in relation to such a notice as if it were a claim for relief."

2A was inserted by s113 FA 1995.


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