SCHEDULES

SCHEDULE 18Corporation tax: foreign currency accounting

8Sterling equivalent if amount carried back to pre-commencement accounting period

1

This paragraph applies where—

a

a loss of a company (“the loss”) is required by section 92B or 92C of FA 1993 to be translated from a currency other than sterling into its sterling equivalent,

b

the translation is for the purpose of computing a loss arising in an accounting period beginning on or after the commencement date, and

c

the loss is to be a carried-back amount that is to be carried back to an accounting period beginning before the commencement date.

2

Section 92DA of FA 1993 does not have effect in relation to the loss.

3

The translation must be made by reference to the appropriate exchange rate.