(1)M1Where any person sustains a loss in any trade, profession, vocation or employment carried on by him either solely or in partnership, he may, by notice given within two years after the year of assessment, make a claim for relief from income tax on an amount of his income equal to the amount of the loss.
(2)M2Subject to section 492(2), relief may be given under subsection (1) above in respect of a person’s loss sustained in the last preceding year of assessment in any trade, profession, vocation or employment still carried on by him in the year for which the claim is made, in so far as relief in respect of that loss has not already been given under that subsection or otherwise; and where relief is claimed by virtue of this subsection it shall be given in priority to any relief under that subsection in respect of a loss sustained in the year for which the relief is claimed.
(3)M3Where there is in any year of assessment a change on which a trade, profession or vocation is treated under section 113(1) as permanently discontinued, and a person engaged in carrying it on immediately before the change continues to be so engaged immediately afterwards, it shall, notwithstanding the discontinuance, be treated as the same trade, profession or vocation for the purposes of subsection (2) above, except as respects the computation of profits or gains and losses.
F1(4)M4This section applies in relation to losses sustained in the occupation of woodlands in respect of which a person has elected under [F2paragraph 4 of Schedule 6 to the Finance Act 1988] to be charged to income tax under Schedule D as it applies in relation to losses sustained in a trade.
Textual Amendments
F1 See 1988(F) s.148and Sch.14 Part Vregarding repeal of s.380(4)from 6April 1993.
F21988(F) Sch.6 para.8from 15March 1988.Previously
“section 54”.
Modifications etc. (not altering text)
C1S. 380(1) modified (1991-92) by The Lloyd's Underwriters (Tax) (1991-92) Regulations 1994 (S.I. 1994/728), regs. 1, 9, Sch. 2
C2S. 380 amended (27.7.1993 with effect for the year 1992-93 and subsequent years of assessment) by 1993 c. 34, ss. 171 (3), 184(3)
C3S. 380(1) applied with modifications (23.3.1993) by S.I. 1993/415, reg. 9, Sch.2
C4S. 380(1) modified (for the year of assessment 1988-89 only) by S.I. 1991/851, reg. 9, Sch.2.
S. 380(1) modified (for the year of assessment 1989-90 only) (28.3.1992) by S.I. 1992/511, reg. 9, Sch.2.
C5 Treatment of oil extraction activities—see Oil Taxation Acts.
C6 See—1990(C) s.142—restriction of set off of first-year allowances.
Marginal Citations
M1Source—1970 s.168(1)
M2Source—1970 s.168(2)
M3Source—1970 s.168(6)
M4Source—1970 s.168(8)