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Where Taxpayers and Advisers Meet

It just ain't fair-lost losses

pawncob
Posts:5090
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex
It just ain't fair-lost losses

Postby pawncob » Wed Jul 27, 2022 4:36 pm

On her husband's death, the wife took over his partnership position in a business that's made losses for 12 years.
This (final ) year the partnership made a profit.
I know I'm clutching at straws, but is there any way these losses can be used against her profit?
With a pinch of salt take what I say, but don't exceed your RDA

Jholm
Posts:360
Joined:Mon Mar 11, 2019 4:22 pm

Re: It just ain't fair-lost losses

Postby Jholm » Thu Jul 28, 2022 10:30 am

I think this might just be an alas moment.

Shame there's no profits in last few years to claim terminal loss relief.

robbob
Posts:3228
Joined:Wed Aug 06, 2008 4:01 pm

Re: It just ain't fair-lost losses

Postby robbob » Thu Jul 28, 2022 2:21 pm

I guess the main one would be if partnership chose not to claim discretionary capital allowances prior year.

Are you 100% sure it wasnt agreed to bring spouse in as partner before death? :)

Are there basis change options - ultimate nightmare

pawncob
Posts:5090
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: It just ain't fair-lost losses

Postby pawncob » Thu Jul 28, 2022 4:10 pm

2021 P/ship return submitted showing change to partners, so can't "backdate" anything.
No C.A.s ever claimed.
There was a profit in 2017, but that was reduced by husband's accumulated losses. Still no help to her.
With a pinch of salt take what I say, but don't exceed your RDA


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