COM50050 - Claims / reliefs: loss and non-trading deficits carry-back: non-trade deficit c/back & repayment int

A claim to carry back a non-trading deficit may result in a repayment of CT or Income Tax for the earlier AP to which the relief is carried back.

In such circumstances S826(7C) ICTA 1988 provides that repayment interest (Word 29KB) is only payable from the due and payable date of the later AP in which the non-trading deficit was incurred.

Surplus ACT Caused By Non-trading deficit Carry-Back 

S826 (7CA) ICTA 1988 applies when surplus ACT created by a non-trading deficit carried back is itself carried back against a liability that is paid.

It ensures that repayment interest is allowed from the due date of the AP from which the non-trading deficit is carried back.

For legislation applying to this subject, see COM50051.