What is the purpose of section 98 of the Corporation Tax Act 2010?

Section 98 serves as a structural overview and roadmap to the chapter on surrendering losses and other amounts under group relief. It does not contain operative rules itself but directs readers to the detailed provisions in sections 99 to 110 of the Corporation Tax Act 2010.

How does group relief loss surrender work under CTA 2010?

Under this chapter, a company that has incurred losses or has other eligible amounts for an accounting period may surrender those amounts to another company in the same group. This allows the receiving company to set the surrendered amount against its own taxable profits for the corresponding period.

Where are the basic rules and restrictions on loss surrender found in CTA 2010?

The basic provisions about what can be surrendered and how the process works are contained in sections 99 to 104. Restrictions that may prevent or limit the surrender of losses and other amounts in certain circumstances are set out in sections 105 to 110 of the Corporation Tax Act 2010.

Can a company surrender its entire trading loss to a fellow group member?

A company may surrender all or part of a trading loss to a fellow group member so that the receiving company can offset it against its own taxable profits. However, both the basic entitlement rules in sections 99 to 104 and the restrictions in sections 105 to 110 must be satisfied before the surrender can proceed.

Corporation Tax Act 2010 section 98

Overview of Chapter

Section 98 provides an overview of the chapter dealing with a company's ability to surrender losses and other amounts for an accounting period as part of group relief.

A company may surrender losses and other amounts it has for an accounting period to another group company
The basic rules governing how losses and other amounts can be surrendered are set out in sections 99 to 104
Restrictions on the surrender of losses and other amounts are set out in sections 105 to 110
This section acts as a structural guide to the chapter, directing the reader to the relevant detailed provisions

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