Finance Act 2022

Limitation on amount of group relief for carried-forward losses to be given

18(1)Paragraph 17(2) is subject to the limitation in sections 188DB to 188DG of CTA 2010 (general limitation on amount of group relief for carried-forward losses to be given) as if those sections applied to RPDT group relief for carried-forward losses under that paragraph as they apply to group relief for carried-forward losses under section 188CB of that Act.

(2)For the purposes of sub-paragraph (1)

(a)section 188DC of CTA 2010 (unused part of the surrenderable amounts) has effect as if subsection (4)(a)(ii) were omitted;

(b)section 188DD of CTA 2010 (claimant company’s relevant maximum for overlapping period) has effect as if—

(i)in subsection (1), in Step 1, for “section 269ZD(4)” there were substituted “section 42 of FA 2022”;

(ii)in subsection (1), for Step 2 there were substituted—

  • Step 2

    Deduct from that amount the sum of any deductions made by the company for the claim period under paragraphs 2(3) and 9(1) of Schedule 7 to FA 2022.;

(iii)subsections (2), (3), (3A) and (5) were omitted;

(c)section 188DE of CTA 2010 (previously claimed group relief for carried-forward losses) has effect as if in subsection (2)(a) “or 188CC” were omitted;

(d)section 188DG of CTA 2010 (meaning of the “overlapping period”) has effect as if—

(i)in subsection (1) for the words in parenthesis there were substituted “(see paragraph 16(2)(b) of Schedule 7 to FA 2022)”;

(ii)in subsection (3), for the words from “group relief condition is the” to the end there were substituted “requirement in paragraph 16(2)(c) of Schedule 7 to FA 2022”.