Part 8

Oil activities
Chapter 4

Calculation of profits

Relief

Further carry forward against subsequent profits of loss not fully used
303D
1
This section applies if—
a
an amount of a loss made in a ring fence trade is carried forward to an accounting period (“the later period”) of a company under section 303B(2) or subsection (3) of this section,
b
any of that amount is unrelieved in the later period, and
c
the company continues to carry on the ring fence trade in the accounting period (“the further period”) after the later period.
2
An amount carried forward as mentioned in subsection (1)(a) is “unrelieved in the later period” so far as it is not—
a
deducted under section 303B(4) or subsection (5) of this section from the company's profit (if any) of the later period,
b
deducted from the company's total profits of the later period on a claim under section 303C, or
c
surrendered by way of group relief for carried-forward losses under Part 5A of CTA 2010.
3
So much of the amount mentioned in subsection (1)(a) as is unrelieved in the later period is carried forward to the further period.
4
Relief for the amount carried forward under subsection (3) (“the remaining carried forward amount”) is given to the company in the further period if the company has a profit in the trade for that period.
5
The relief is given by reducing the profits of the trade of the further period by the remaining carried forward amount.
6
Relief under this section is subject to restriction or modification in accordance with the provisions of the Corporation Tax Acts.
Ss. 303A-303D inserted (with effect in accordance with Sch. 4 para. 190 of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 4 para. 48
Ss. 303A-303D excluded (14.7.2022) by Energy (Oil and Gas) Profits Levy Act 2022 (c. 40), s. 1(5)(e) (with ss. 15(1), 16(1))