Corporation Tax Act, 1976
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Terminal losses. |
185.—Where a company carrying on a trade on the 6th day of April, 1976, ceases to do so within four years of coming within the charge to corporation tax in respect of it, section 18 (relief for terminal loss in trade) shall apply, with any necessary modifications, so as to enable relief to be given under that section against income tax for years of assessment before 1976-77 in so far as relief cannot be given against corporation tax, but so that— | |
(a) where relief is given against income tax, section 313 of the Income Tax Act, 1967 (amount of profits or gains for terminal loss relief), shall apply as it applies in relation to the corresponding relief under section 311 (terminal loss relief) of that Act; and | ||
(b) where section 18 has effect by virtue of this section to reduce the profits of any period and income tax for more than one year of assessment has been computed wholly or partly by reference to those profits, such adjustments shall be made as may be necessary to prevent relief being given more than once. |