Section 269ZJ — Corporation Tax Act 2010: Exclusion of shock losses from restrictions

Exclusion of shock losses from restrictions 269ZJ 1 If a shock loss is—

a carried forward to an accounting period of an insurance company (see section 269ZP(2)),

and b deducted under section 45B (post-1 April 2017 trade losses carried forward against trade profits), the deduction is to be treated as not falling within section 269ZB(3).

2 If a shock loss is—

a carried forward to an accounting period of an insurance company, and b deducted under section 463H of CTA 2009 (carry forward of unrelieved non-trading deficit from loan relationships against non-trading profits), the company is to be treated for the purposes of sections 269ZC and 269ZD(2)(b)(ii) as not having made that deduction.

3 If an insurance company makes a deduction of (or in respect of) a shock loss, that deduction is not a “ relevant deduction ” for the purposes of section 269ZD (restriction on deductions from total profits). 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .