Learn how to apply brought forward revenue losses against current year losses in a company.
This video demonstrates the use of the losses's schedule.
Find the losses section at the bottom of the Reconciliation tab.
Losses schedule must be completed in order to lodge CTR with “Tax losses carried forward” greater than $100,000. This is mandatory for ATO and cannot be avoided. ATO guide
Press "Other", then "Losses", and activate as "YES"
To process the "Losses Schedules", select "Edit"
Below example shows that there is a "Tax Losses carried forward" $150,000
It is necessary to visit the Reconciliation tab and manually insert the losses you want to apply against current year profits.
In this case, will zero out the Taxable income. manually adjust via "Tax Losses Deducted"
Go Back to "Losses Schedules" > "Edit"
Apply the amount through "SUBTRACT Tax losses deducted"
The "carried forward to later income years" is presented -
Click here to read more about Loss carry-back for companies
To fill Losses Carried forward to later income years - navigate and fill Losses Reconciliation sections, fields B-I will be transferred to 2019 – 2020 income year.
Note: Loss carry back tax offset cannot be more than Closing franking account balance. User can read how to complete franking account records here
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