What happens if my business makes a tax loss?

A tax loss may qualify for relief, but the options depend on your business structure, circumstances and the type of loss. It is not automatically a refund. Check the tax calculation and claim deadlines rather than assuming the loss disappears or cancels other tax.

These answers provide general information, not advice tailored to your circumstances. Rules can change and exceptions may apply — speak to the CASS team before making a tax, accounting or financial decision.

Check which loss you have

An accounting loss, a trading tax loss and a cash shortfall are different things. Tax adjustments can change the figure shown in your accounts.

The options depend on structure

Sole traders, partners and companies follow different rules. Depending on conditions, losses may be carried forward or used against other eligible income or profits. Restrictions can apply.

Compare before claiming

A claim can affect allowances and the relief available in another year. The quickest refund is not always the best overall result, and time limits need checking.

Keep the evidence

Give CASS the full accounts and relevant personal or company tax information. We can assess available relief and the records needed, rather than assuming every loss has the same treatment.