Restrictions: pre-entry loss: anti-flooding rule for pooled assets
The method of computing the pre-entry loss depends on whether all the assets disposed of are post-entry assets, see CG47688, or whether the disposal is of both pre-entry and post-entry assets, see CG47689.
Note: Additional rules relating to loss buying were enacted in FA 2006. See CG47020+ for guidance on the rules which apply in priority to TCGA92/SCH7A for accounting periods ending on or after 5 December 2005.
FA11/S46 and FA11/SCH11 greatly simplified the rules in TCGA92/SCH7A for the deduction of losses on or after 19 July 2011. See CG47400+ for guidance on loss streaming from that date.