Part 2Calculation of liability in respect of profits

Chapter 4Currency

Interpretation

16Sections 13(2) and 15(5): profit against which carried-forward amount to be set off

(1)

This section is about the interpretation of the references in sections 13(2) and 15(5) to the profit against which a carried-forward amount is to be set off, in a case where the carried-forward amount—

(a)

is one that is treated as arising in an accounting period later than that in which it in fact arises, and

(b)

is accordingly deductible in calculating a profit for that later period.

(2)

In such a case, the references are to be read as references to the profit in calculating which the amount is deductible, disregarding the deduction.