United Kingdom Corporation Tax Loss Relief - Case I of Schedule D

Case I of Schedule D

This Case covers trading profits arising from a UK trade. Case I losses are calculated in the same way as trading profits1.

A company2 that is part of a group or a consortium may group relieve its Case I losses in excess of the other taxable profits arising in the company in that period, provided there is a group or consortium company with sufficient taxable profits to accept that group relief.

A company may elect to set the Case I losses arising in an accounting period against other taxable profits arising in the period3. If there are still unutilised Case I losses that arose in that period, a company may elect to carry these back against its taxable profits of the last 12 months3. Where a trade ceases, the company may elect to carry back its Case I losses arising in the last 12 months of the trade against its taxable profits arising in the preceding 36 months4.

Any Case I losses unutilised in a period are automatically carried forward to be utilised against the next Case I profits arising from the same trade4.