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 REIT 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
Description |
Type of loss etc |
Can be used against |
| Losses brought forward against certain investment income | section 393(8) ICTA | Same type of investment income included in the residual business |
| Unused non-trading loan relationship and derivative contract deficits | section 457 CTA 2009 (financial instruments) | Non-trading profits included in the residual business (even if deficit relates to financing costs etc of qualifying property business carried on pre-entry) |
| CVS loss relief | Section 573 ICTA | Investment companies only |
| Excess management expenses | Section 1223 CTA 2009 | Profits of the residual business (even if excess related to managing subsidiaries that operated qualifying property business pre-entry) |
| CAs for management of business | Investment companies only | |
| Unused non-trading losses on intangible fixed assets | Paragraph 35(3) Schedule 29 FA 2002. | Future profits of the residual business |
| Non-trade CAs | Future profits of the residual business | |
| Excess charges paid | Section 338(4) ICTA | No 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.
