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I want to know if I can use "may have" when talking about a past action. For example:

He may have lost it when he was walking

Is it correct, or shall I write might as it refers to a past action:

He might have lost it when he was walking

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Yes, both of those can be used.

But in addition to the other answer that mentions "perhaps" and "maybe" as alternatives, there is another expression that is much more common:

"What happened to his money?"
"He must have lost it when he was walking."

While I'm not sure I agree that current English texts would question the use of may have or might have, must have is certainly more common and would not be questioned (assuming the others are).

Although it uses the word must, it does not actually mean that it's what really happened, only that it's a supposition.

In continuing the conversation, the speakers would consider the possibility—and then perhaps retrace the person's steps to see if they could find the money and prove or disprove the theory.

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Yes, you will hear native speakers say this. However, you probably won't find it recommended by English textbooks. You're correct that the correlated clauses with "when" should have compatible tenses, so the first clause should be in past tense. "He may have lost it" may be used here if it is interpreted as past tense meaning "perhaps he lost it". "He might have lost it" may also be used here but "might" tends to suggest a less likely possibility than "may".

Perhaps he lost it when he was walking. (correct)
Maybe he lost it when he was walking. (correct)
He may have lost it when he was walking. (in use but not in textbooks)
*He has lost it when he was walking. (incorrect)
*He loses it when he was walking. (incorrect)
He might have lost it when he was walking. (correct, suggests less likely)

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