Self Employed running costs used as PAYE tax credits?

N

Numbs

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Hi,

I worked 5 months of last year as a PAYE worked.
For the last 7 months of 2006 I was setting up as a sole trade and incurred running costs that were more than my earnings as a sole trader for 2007. Can I use this excess in running costs & expenses as tax credits against my PAYE income tax and therefor claim some of it back? Would appreciate any good advice on this.
 
As far as i understand the answer is no. You can bring forward your loss in your yearly tax return as aself employed person and deduct from next years profits before you pay your tax.....I could be wrong though so maybe someone can give you a definitive answer.
 
Any losses incurred in respect of self-employment may be set against other income chargeable to tax in that year.

Any losses not releived in this way can be carried forward and set against profits of the same trade or profession in future years.
 
Domo said:
Any losses incurred in respect of self-employment may be set against other income chargeable to tax in that year.

Any losses not releived in this way can be carried forward and set against profits of the same trade or profession in future years.
Click to expand...

Can you carry forward losses as a tax credit when one reverts to an PAYE employee?
 
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