We act for an insolvent company which has £1m of trading losses carried forward. As part of a restructuring exercise the trade is to be transferred to a related non-group company. What happens to the above losses and how can they be utilised going forward?
ICTA 1988 s 343 has been rewritten to CTA 
2010 Part 22 (ss 940A onwards) and deals specifically with transfers of trades without a change in ownership.
The rules apply where the so-called ownership and tax conditions are met as set out below. However the first point to note is that these provisions are mandatory so no election is required; indeed their origins are anti-avoidance to counteract artificial cessations of trade which could have resulted...
90a1d87b-c1b5-43c3-a720-cd324830adee.tmb-editorspic.jpg?sfvrsn=1b2d0a7e_1)
