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  • Calculate losses to carry forward to 2018–19

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    Step 1

    Is Taxable income on the Prepare return screen a loss?

    Yes - Go to step 4.

    No - Go to step 2.

    Step 2

    Is Taxable income plus Losses claimed this income year (Primary production and Non-primary production), treated as a positive amount, equal to or more than Total losses available this income year (Primary production and Non-primary production)?

    Yes - You have no losses (primary production or non-primary production) to carry forward to 2018–19.

    No - Go to step 3.

    Step 3

    Is Taxable income plus Losses claimed this income year (Primary production and Non-primary production), treated as a positive amount, equal to or more than Total losses available this income year (Primary production)?

    Yes - You have no primary production losses to carry forward to 2018–19.

    No - The amount of:

    • primary production losses you carry forward to 2018–19 is Total losses available this income year (Primary production) less Losses claimed this income year (Primary production).
    • non-primary production losses you carry forward to 2018–19 is Total losses available this income year (Non-primary production) less Losses claimed this income year (Non-primary production).

    Keep a record of these amounts for next year.

    Step 4

    Use the worksheet below to work out the primary production and non-primary production losses you carry forward to 2018–19.

    Make sure you show all losses as negative amounts in the worksheet. Amounts at rows e, f, g and h may be losses. If so, show them as negative amounts.

    Worksheet

    Row

    Calculation

    Amount

    a

    Taxable income on your tax return.

    This amount is a loss, show it as a negative amount.

    $              

    b

    Gifts or donations on your tax return.

    $

    c

    Personal super contributions on your tax return.

    $

    d

    Add rows b and c.

    $

    e

    Add row d, which is either zero or positive, to row a which is negative.

    If row e is positive, go to step 7.

    $

    f

    Trusts (Net primary production amount) plus Partnerships (Net primary production amount) on your tax return.

    $

    g

    Business income or loss (Net primary production) on your tax return.

    $

    h

    Add rows f and g.

    $

    i

    If row h is a loss and is the same or a greater loss than row e, show the amount from row e.

    If row h is a loss and is a smaller loss than row e, show the amount from row h.

    Otherwise, show 0.

    $

    j

    If row h is a loss and is the same or a greater loss than row e show 0.

    If row h is a loss and is a smaller loss than row e, take row h away from e and show the answer.

    If row h is not a loss, show the amount from row e.

    $

    Go to step 5.

    Step 5

    Is the amount at row i zero?

    Yes - The amount of primary production losses you carry forward to 2018–19 is Total losses available this income year (Primary production). Go to step 6.

    No - Add the amount at row i to Total losses available this income year (Primary production). When adding these two amounts ignore the fact that they are both negative amounts. The answer is the amount of primary production losses you carry forward to 2018–19. Go to step 6.

    Step 6

    Is the amount at row j zero?

    Yes - The amount of non-primary production losses you carry forward to 2018–19 is Total losses available this income year (Non-primary production).
    Keep a record of these amounts for next year.

    No - Add the amount at row j to Total losses available this income year (Non-primary production). When adding these two amounts ignore the fact that they are both negative amounts. The answer is the amount of non-primary production losses you carry forward to 2018–19.
    Keep a record of this amount for next year.

    Step 7

    Total losses available this income year (Primary production) is your primary production losses you carry forward to 2018–19.

    Total losses available this income year (Non-primary production) is your non-primary production losses you carry forward to 2018–19.

    Keep a record of these amounts for next year.

      Last modified: 28 Jun 2018QC 55670