Over the last couple of years many businesses will have recorded trading losses. Losses can also be created, or trading losses enhanced by claiming capital allowances on the purchase of equipment or machinery.
No one wants to make a loss. They suck the resources out of your business. However, if you have recorded a tax loss, the next question should be how you can turn that loss into cash from HMRC. If you have paid tax in an earlier year or have more than one source of income, you can offset the loss against these other profits, either saving you tax, or ideally getting tax repaid that you paid in an earlier year.
If you are new to self-employment and have made a loss, you may be able to throw this loss back and get tax repaid that you paid on PAYE while you were still employed.
Come and speak to us about ways to get tax refunds out of HMRC.