GREIT03110 – Entry to the regime: effects of entry: other expenses etc pre- entry periods

The table below sets out the position for utilising expenses, deficits etc arising in accounting periods up to the date the UK-ICTA rules first apply and which have not been offset against other profits of pre-entry accounting periods, either in the same company or surrendered as group relief. See GREIT03100 for descriptions of terms used below.

Table 3: other expenses, losses etc

DescriptionType of loss etcCan be used against
Losses brought forward against certain investment incomesection 393(8) ICTASame type of investment income of C (residual)
Unused non-trading loan relationship and derivative contract deficitssection 83 FA 1996 (financial instruments)Non-trading profits of C (residual) (even if deficit relates to financing costs etc of qualifying property business carried on pre-entry)
CVS loss reliefSection 573 ICTAInvestment companies only
Excess management expensesSection 75 ICTAProfits of C (residual) (even if excess related to managing subsidiaries that operated qualifying property business pre-entry)
Interest distributionsSection 469L ICTAAIFs only
CAs for management of business Investment companies only
Unused non-trading losses on intangible fixed assetsParagraph 35(3) Schedule 29 FA 2002.Future profits of C (residual)
Non-trade CAs Future profits of C (residual)
Excess charges paidSection 338(4) ICTANo carry forward (relief restricted to payments made in the accounting period)


See GREIT03100 and GREIT03105 for Tables 1 and 2: capital and trading losses etc.