CTM81540 - Groups: group relief: surrendering company not UK resident: amount of the loss: the qualifying loss condition: not otherwise given

ICTA88/SCH18A (8)

There are four conditions which must be satisfied before a loss arising in a 75% subsidiary resident in another European Economic Area (EEA) territory will be available for group relief in the UK, ( CTM81510). The third of these is the ‘qualifying loss condition’ ( CTM81525), which in turn has three conditions which need to be met.

This third condition ensures that a loss will not qualify if it has been relieved in a territory other than the UK or the relevant EEA territory.

If the loss has been relieved either as:

• a payment of a credit, or
• by the elimination of reduction of a tax liability, or
• by any other means of any kind,

then no relief will be due.