Carry-Forward Capital Losses In Navexa

Carry-forward capital losses can affect the estimated capital gains figures shown in future Navexa Capital Gains Tax reports when earlier-year losses are recorded in your account.

A carry-forward capital loss is a capital loss from an earlier financial year that has not yet been fully applied against capital gains.

If you make a capital loss in one financial year, that loss may be available to reduce capital gains in a later financial year. Navexa tracks recorded loss balances so they can flow into later Navexa Capital Gains Tax reports.

For example:

Capital losses are carried forward in Navexa. They are not applied to earlier financial years.

Carry-forward capital loss balances can come from different sources in Navexa.

They may come from:

If you are new to Navexa, you may already have capital losses from years before you started using the platform. In that case, you may need to enter a historical loss balance so Navexa has the correct starting point for future reports.

If Navexa asks you to confirm earlier years as lodged, you may see a field for Carried-forward capital losses.

This field is for the capital loss balance available at the start of the selected financial year. This figure usually comes from your last lodged tax return. In ATO myTax, it is commonly shown at label V.

For example, if you are preparing FY25/26, enter the carried-forward capital loss balance available from your prior lodged records. Navexa can then include that balance in FY25/26 and later Capital Gains Tax reports.

If you do not have any carried-forward capital losses, enter $0.00 or leave the balance as zero.

You can also add historical capital losses from the Capital Losses area.

Use this when you already know the capital loss amount you need to record, or when the loss was made before your Navexa portfolio history was complete.

When adding a historical loss, choose the financial year the loss was made or recorded. Do not choose a later year only because you want the loss to appear in that later report.

This matters because Navexa carries losses forward from the year they are created or recorded.

Losses created are capital losses recorded for a financial year.

For example, if a disposal is recorded in Navexa and the available cost-base or reduced-cost-base information produces a capital loss, Navexa may calculate a capital loss for that disposal.

If the loss is not fully applied in that financial year, the unused amount may be available to carry forward in later Navexa reports.

Losses applied are capital losses used against capital gains in a financial year’s Navexa Capital Gains Tax report.

For example, if you have AUD $2,000 of carried-forward losses and AUD $5,000 of recorded capital gains, Navexa may show some or all of the available losses being applied before the estimated net capital gain is calculated.

Losses applied reduce the capital gains shown in the Capital Gains Tax report. They do not reduce ordinary income recorded in Navexa, such as dividends or interest. They also do not reduce personal income outside Navexa, such as salary.

Remaining losses are capital losses still available after losses have been applied in a Navexa report.

For example:

The remaining loss balance can change when you add or edit trades, add historical losses, change CGT settings, or re-lock earlier financial years.

Earlier financial years matter because capital losses move forward through time.

If an earlier year is incomplete, the carried-forward balance for later years may also be incomplete.

This can happen when:

If you have several years of history in Navexa, review older years first. This helps each later year calculate from a more complete starting point.

Locking a financial year saves that year’s tax report calculations in Navexa.

When capital losses are involved, locking can help preserve the loss balance created, applied, or carried forward from that year.

If you later change trades, income records, AMIT data, historical losses, or CGT settings in a locked year, Navexa may show that the year needs review. You may need to unlock or re-lock affected years so the carry-forward loss chain is updated.

A capital loss may not appear as applied if it was entered in the wrong financial year, if there are no eligible capital gains recorded in that year, or if the loss is not available from the year you are reviewing.

Check the year the loss was created or entered. The loss must exist in an earlier or current year before it can be carried forward into later years.

A carry-forward loss balance may show as zero if there are no unused losses available, if losses have already been fully applied, or if historical losses have not yet been entered.

If you have a prior lodged loss balance, check whether it has been entered through Confirm Earlier Years As Lodged or the Capital Losses area.

You can enter historical capital losses if the losses came from earlier years and are not already recorded in Navexa.

Use records from your lodged tax return, accountant, broker records, or your own tax records to confirm the amount and year before entering the balance.

Capital losses do not apply backwards in Navexa.

A loss recorded in FY26/27 will not reduce capital gains in FY25/26. Record the loss in the year it was made so Navexa can carry it forward correctly.

Navexa provides portfolio tracking and tax reporting tools based on the data recorded in your account. Navexa reports are designed to help you review and organise your investment tax information, but your lodged tax return and tax records remain the source of truth.

Review your records and speak with a registered tax agent if you need advice about your circumstances.

Remember, this is general information, not personal financial advice.