Apply for a loss carryforward
Determination by the tax office of a tax loss carryforward that can be offset against positive income in subsequent years.
How to proceed
- 1
Reporting losses on your tax return
In the respective income category and investment.
- 2
Request a separate notice of loss determination
The tax office determines the amount of the loss.
- 3
Automatic offsetting in subsequent years
Loss carryforwards reduce taxable income in subsequent years.
Responsible authority
The authority of your main place of residence is responsible.Find authority →
Fees
Varies by case
Processing time
approx. 4 weeks
Official: max. approx. 1 months
Online application
Online possible – at the responsible authority
Common mistakes
- • No separate request was made for a notice of loss determination
- • Chose to carry back losses instead of carrying them forward (even though carrying them forward is more tax-efficient)
Common reasons for rejection
- • Loss from a non-tax-deductible activity (hobby)
- • Losses from private sales transactions are only partially deductible
You can usually file an objection against a rejection.
The essentials before applying
Who is eligible?
Taxpayers who have incurred losses from business operations, rental income, or capital gains in a given year.
Income limit
The limit varies by household and region – see the table at the responsible authority or in the application assistant.
Processing time
Nationwide: approx. approx. 4 weeks
Success rate
approx. 88.0 % (estimate)
Most common mistakes
- •No separate request was made for a notice of loss determination
- •Chose to carry back losses instead of carrying them forward (even though carrying them forward is more tax-efficient)
Common reasons for rejection
- •Loss from a non-tax-deductible activity (hobby)
- •Losses from private sales transactions are only partially deductible
Alternatives
- Check related services in the application assistant
- Use social counselling before applying
If rejected
File a written objection within 30 days – with reasons why the decision is wrong and any missing evidence.