managed fund loses

[Gordon Brown]

The recent roller coaster on the markets has turned our company investments in managed funds into a loss.

Can we offset these losses against any interest we have gained on our cash deposits, or simply against profits for the year? Our year ends next week so I can't see us recovering the losses by then.

Can we also claim the commissions we paid as a business expense?

[thewave]

Gordon Brown said:

The recent roller coaster on the markets has turned our company investments in managed funds into a loss.

Can we offset these losses against any interest we have gained on our cash deposits, or simply against profits for the year? Our year ends next week so I can't see us recovering the losses by then.

Can we also claim the commissions we paid as a business expense?

It's a capital loss only when you sell, and those losses can only be set off against capital profits. In your case, if it's a normal company with investments(not an investment company) then you will simply show the acquisition cost of the fund (including the commission fees) on the balance sheet, and then have a note in the accounts stating the balance of that fund as at the year end.

[Gordon Brown]

thewave said:

Gordon Brown said:

The recent roller coaster on the markets has turned our company investments in managed funds into a loss.

Can we offset these losses against any interest we have gained on our cash deposits, or simply against profits for the year? Our year ends next week so I can't see us recovering the losses by then.

Can we also claim the commissions we paid as a business expense?

It's a capital loss only when you sell, and those losses can only be set off against capital profits. In your case, if it's a normal company with investments(not an investment company) then you will simply show the acquisition cost of the fund (including the commission fees) on the balance sheet, and then have a note in the accounts stating the balance of that fund as at the year end.

Thanks for that.