BIM85760 - Trade losses - restriction of relief: income not eligible/losses not eligible
There are certain types of income against which S64 Income Tax Act 2007 (ITA 2007) relief and S72 ITA 2007 relief is not available:
- Under S80 ITA 2007, income from oil operations is excluded from the relief except where the loss arises from those activities. Officers should refer such cases to the Large Business.
- Under S95 ITA 2007, losses in a trade, carried on wholly abroad by a UK resident, are relievable against qualifying foreign income only. Refer to Business Profits for advice on Section 95.
For restrictions on loss relief on farming activities, see BIM85605 onwards.