Corporation Tax Act 2010 section 886

Relevant tax relief

Section 886 defines what counts as a "relevant tax relief" deduction for the purposes of the chapter dealing with schemes involving the buying and selling of income receipts.

• Relevant tax relief includes deductions in calculating trade profits or losses for corporation tax, as well as deductions relating to miscellaneous transaction losses and miscellaneous charges.
• It covers deductions for adjusted BLAGAB management expenses of insurance companies and deductions for management expenses of a company's investment business.
• For income tax purposes, it includes deductions in calculating profits or losses of a trade, profession or vocation, and deductions relating to miscellaneous transaction losses and other chargeable income or gains.
• It also includes deductions from employment earnings for expenses, or deductions used in calculating employment losses for income tax purposes.