Tax loss carryforward

Carrying forward tax losses to offset future taxable profits.

Tax loss carryforward allows unused tax losses to be carried forward to offset taxable profits in future periods, subject to conditions and limits.

- Used when computing taxes, preparing returns, and documenting tax positions.
- Used to evaluate transaction tax impact and ensure compliance (VAT/GST/Corporate Tax).

- Example: The tax team applies **Tax loss carryforward** to determine the correct tax treatment and to support the filing.

- Why it matters: Reduces compliance risk, helps avoid penalties, and supports consistent tax reporting and defensible positions.