Section 53 — Income Tax Act 2007: Transfer of unused relief: general

Transfer of unused relief: general 53 1 For the purposes of sections 51 and 52, the comparable tax liability of an individual is the amount of the individual's tax left after Step 6 of the calculation in section 23 for the tax year, making that calculation with the modifications set out in subsections (2) and (3).

2 In making that calculation, do not deduct any tax reduction under—

a sections 2 and 6 of TIOPA 2010 (double taxation arrangements: relief by agreement), or b section 18(1)(b) and (2) of TIOPA 2010 (relief for foreign tax where there are no double taxation arrangements).

3 If the individual's entitlement to a tax reduction under this Chapter is extinguished under section 423(4) (gift aid: restriction of reliefs) to any extent, deduct from the amount calculated in accordance with subsections (1) and (2) the amount by which the tax reduction is reduced.

4 A notice under section 51 or 52—

a must be given not more than 4 years after the end of the tax year to which it relates, b must be in the form specified by the Commissioners for Her Majesty's Revenue and Customs, and c cannot be withdrawn.

5 For the purposes of this section a person is treated as being entitled to a tax reduction under sections 2 and 6 of TIOPA 2010 if the person is entitled to credit against income tax under double taxation arrangements.