Section 62 — Corporation Tax Act 2010: Relief for losses made in UK property business

Relief for losses made in UK property business 62 1 This section applies if, in an accounting period, a company carrying on a UK property business makes a loss in the business.

2 Relief for the loss is given to the company under this section.

3 The relief is given by deducting the loss from the company's total profits of the accounting period.

4 Subsections (5) to (5C) apply if—

a an amount of the loss is not deducted as mentioned in subsection (3) or surrendered by way of group relief under Part 5, b the company continues to carry on the UK property business in the next accounting period.

5 The amount —

a is carried forward to the next accounting period, and b is treated for the purposes of this section as a loss made by the company in the UK property business in that period. 5A But relief under subsection (2) for the amount is given to the company in the next accounting period only on the making by the company of a claim. 5B A claim may relate to the whole of the amount or to part of it only. 5C A claim must be made—

a within the period of two years after the end of the next accounting period, or b within such further period as an officer of Revenue and Customs may allow. 5D In the application of this section to an amount of a loss previously carried forward under subsection (5), the reference in subsection (4)(a) to group relief under Part 5 is to be read as a reference to group relief for carried-forward losses under Part 5A.

6 Relief under this section is subject to restriction or modification in accordance with provisions of the Corporation Tax Acts.