C3) Bella has traded for many years, in the last two years her trading and property profit/(losses) were: Property Trading Year ended 31 December 2020 Year ended 31 December 2019 30,000 (190,000) 70,000 45,000 Bella wishes to claim relief as early as possible. Required: Using a loss memorandum (memo) and showing workings for how you have considered relevant caps on relief, explain how Bella can utilise the £190,000 trading loss and how much loss will be carried forward to tax year 2021/22.

C3) Bella has traded for many years, in the last two years her trading and property profit/(losses) were: Property Trading Year ended 31 December 2020 Year ended 31 December 2019 30,000 (190,000) 70,000 45,000 Bella wishes to claim relief as early as possible. Required: Using a loss memorandum (memo) and showing workings for how you have considered relevant caps on relief, explain how Bella can utilise the £190,000 trading loss and how much loss will be carried forward to tax year 2021/22.

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter14: Property Transact Ions: Capital Gains And Losses, § 1231, And Recapture Provisions

Section: Chapter Questions

Problem 59P

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