Things you need to know
Declare at this question your total taxable income or loss.
How you complete it will depend on whether you completed question L1 Tax losses of earlier income years – labels F or Z in your tax return.
If the amount at Taxable income or loss in your tax return is a loss (if you printed L in the Loss box), then this may not be the amount you show as losses carried forward from earlier income years at question L1 in next year's tax return. Adjustments will have to be made to take into account any:
- exempt income
- deductions for gifts or donations (question D9)
- personal superannuation contributions (question D12 in your supplementary tax return).
For more information, see Amounts you don't include as income.
Have you completed question L1 – labels F or Z?
- No – Go to No prior year losses.
- Yes – Go to Deducting your prior year losses.
Completing your tax return
To complete this question, use the following information.
No prior year losses
Follow step 1.
Step 1
Transfer the amount you show at Subtotal in your tax return to Taxable income or loss.
If the amount at Taxable income or loss is less than zero, print L in the Loss box. Keep a record of this amount to work out your tax losses of earlier income years for next year.
You have completed this question, see Where to go next.
Deducting your prior year losses
Follow the steps.
Step 2
Add up the amounts at question L1 – labels F and Z. Subtract the total from the amount you have written at Subtotal.
Step 3
Write the answer at Taxable income or loss in your tax return.
You can't have a loss at Taxable income or loss if you had amounts at labels F or Z. This is because you can only use your losses from earlier years to reduce your current year taxable income to nil. You can't use them to create a tax loss. Any losses you have remaining can be carried over to future years until you fully recoup them.
Where to go next
- Go to question T1 Seniors and pensioners tax offset 2025.
- Return to main menu Individual tax return instructions 2025.
- Go back to question L1 Tax losses of earlier income years 2025.