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Capital Losses

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Hi,

 

Does anyone know how I can view my total capital losses carried forward. I have capital losses from multiple past years but I can't find the net figure. 

 

Each year when you fill out your tax return, are you meant to net the current year capital gains/losses with the previous years leaving you with the total net carry forward loss? Looking over my previous returns, I only see 'prior year capital losses' and not net capital loss carried forward. For example...

 

FY 14/15 'prior year capital losses' $1000

FY 15/16 'prior year capital losses' $2000

 

Now when I do my tax return for FY 16/17, I can't see my net capital losses of $3000 carried forward and I'm unsure as to how to apply the past capital losses to my current capital gains.

 

Any help would be greatly appreciated.

 

Cheers.

 

 

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Hi @steve_07,

 

Thanks for your question! @smouldery has provided some really useful information to help you complete the CGT section of your tax return.

 

It's important to note that you will need to keep a record of any unapplied net capital losses from earlier years. You can continue to carry over these amounts and use them to reduce your future capital gains. There is no time limit on how long you can carry over your net capital losses. You record these at V Net capital losses carried forward to later income years in each tax return until such time as you can apply them against a capital gain.

 

You need to report your total prior year capital gains on each return for continuity purposes - this helps us track whether or not you have capital losses you can apply against future returns. If this information isn't recorded, we may assume that the loss has been applied previously, and won't allow you to use these losses later.

 

If it turns out that you have capital losses from previous years that haven't been carried forward, you can amend the tax returns with the missing information. Once your returns have been corrected, you can then apply those losses against any capital gain.

 

If you're not sure when you last recorded your CGT losses, you can:

  • Check your previous income tax returns using our online services via myGov
  • Check with any tax practitioners who have prepared earlier income tax returns
  • Request a live web-chat - we can share your screen and provide help in real time
  • Phone us on 13 28 61 between 8:00am and 6:00pm Monday to Friday - we can verify your identity over the phone and provide you with information from prior returns.

 

Hope that helps! Thanks, @AmandaE

 

 

 

 

 

 

 

 

2 REPLIES 2

Enthusiast

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Information and step-by step instructions for working out capital gains can be found here for 2017 (2016 version, 2015 version). 

 

If your 2015/16 income tax return was completed correctly, it's likely any capital losses that you can apply in 2016/17 and future years would have been shown at Item V question 18 on the supplementary section of the paper return, or in an equivalent section on mytax. 

 

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Best answer

ATO Certified

Devotee

Replies 0

Hi @steve_07,

 

Thanks for your question! @smouldery has provided some really useful information to help you complete the CGT section of your tax return.

 

It's important to note that you will need to keep a record of any unapplied net capital losses from earlier years. You can continue to carry over these amounts and use them to reduce your future capital gains. There is no time limit on how long you can carry over your net capital losses. You record these at V Net capital losses carried forward to later income years in each tax return until such time as you can apply them against a capital gain.

 

You need to report your total prior year capital gains on each return for continuity purposes - this helps us track whether or not you have capital losses you can apply against future returns. If this information isn't recorded, we may assume that the loss has been applied previously, and won't allow you to use these losses later.

 

If it turns out that you have capital losses from previous years that haven't been carried forward, you can amend the tax returns with the missing information. Once your returns have been corrected, you can then apply those losses against any capital gain.

 

If you're not sure when you last recorded your CGT losses, you can:

  • Check your previous income tax returns using our online services via myGov
  • Check with any tax practitioners who have prepared earlier income tax returns
  • Request a live web-chat - we can share your screen and provide help in real time
  • Phone us on 13 28 61 between 8:00am and 6:00pm Monday to Friday - we can verify your identity over the phone and provide you with information from prior returns.

 

Hope that helps! Thanks, @AmandaE

 

 

 

 

 

 

 

 

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