Module 16: Corporation Tax Losses

Question 1

Four uses of trading loss

Answer 1

Use against CY profits
Carry forward against future total profits
Give the loss to another group company
Carry back to prior periods against total profits of company incurring loss

Question 2

Carry back election can only be made

Answer 2

If loss has first been used in current year

Question 3

Short CAP carry back

Answer 3

Apportionment required

Question 4

QCDs

Answer 4

Can defer payment / group relieve

Question 5

Non trading loans

Answer 5

Debuts and credits added to get net figure