BIM75605 - Farming losses: loss excluded under ICTA88/S384 or ICTA88/S397

Where a loss is caught by either ICTA88/S384 or ICTA88/S397:

• relief against general income under ICTA88/S380 is denied in respect of the loss,
• relief against capital gains under FA91/S72 (1) is similarly denied,
• no restriction is imposed on the right to carry forward unused losses against future profits of the same trade under ICTA88/S385,
• Agricultural buildings allowances due under Part 4 CAA01 are given in taxing the trade and are caught by the legislation. In the case of an owner-occupier, a measure of relief against other income for the cost of maintenance, repairs, and insurance of the agricultural land was available under extra- statutory concession ESC/B5 but this only applied to periods up to 5 April 2001 (see BIM75610).