Part 4Loss relief

Chapter 2Trade losses

Terminal trade loss relief

94Carry back of certain interest as loss

1

This section applies if—

a

an individual pays interest in a tax year which is eligible for relief under section 383 (as a result of section 388 or 398),

b

the interest is an expense incurred wholly and exclusively for the purposes of a trade carried on wholly or partly in the United Kingdom, and

c

relief under section 383 cannot be fully given in respect of the interest because there is no income or insufficient income in the tax year.

2

For the purposes of terminal trade loss relief, the amount for which relief has not been given may be treated as a loss made in the trade at the date of payment.

3

This section applies to professions and vocations as it applies to trades.