Trading losses: transfer of company carrying on exempt activitiesU.K.
1(1)This paragraph applies for the purposes of corporation tax where—U.K.
(a)in consequence of a section 39 scheme, a company which is not an NDA company becomes an NDA company falling within section 27(4)(a); and
(b)the company carried on exempt activities before the coming into force of the scheme.
(2)Trading losses attributable to the exempt activities carried on by the company before the coming into force of the scheme shall be treated, in relation to accounting periods beginning at or after that time, as extinguished.
(3)For the purpose of determining the extent to which trading losses incurred by a company are attributable to exempt activities, such apportionments of receipts, expenses, assets and liabilities shall be made as may be just.
Commencement Information
I1Sch. 9 para. 1 in force at 5.10.2004 by S.I. 2004/2575, art. 2(1), Sch. 1