Corporation Tax Act 2010 section 36

Introduction to Chapter

Section 36 introduces the chapter on trade loss relief for companies and outlines the areas where relief is available as well as the specific restrictions that apply.

• Companies that make a loss in a trade may claim relief against their total profits, with detailed rules set out in sections 37 to 47.
• Restrictions on loss relief apply in four specific areas: farming or market gardening, commodity futures dealings, leasing contracts and company reconstructions, and receipts of interest, dividends or royalties by non-UK resident companies.
• A company is only treated as carrying on a trade for these purposes if it is within the charge to corporation tax in respect of that trade.
• References to a "trade" throughout the chapter include an office, and "carrying on a trade" includes holding an office, unless the context requires otherwise.