Part 2Trading income

Chapter 18Post-cessation receipts

Deductions

255Further rules about allowable deductions

(1)

An amount may not be deducted more than once under section 254.

(2)

A deduction under that section of a loss must be made from post-cessation receipts charged for an earlier tax year in preference to those charged for a later tax year.

(3)

But this does not authorise the deduction of a loss from post-cessation receipts charged for a tax year before the tax year in which the loss is made.

(4)

No deduction may be made under section 254 from any amount that is treated as a post-cessation receipt under—

(a)

section 248(4) (debts paid after cessation), or

(b)

section 250 (receipts relating to post-cessation expenditure).