Group relief - part 2
In this lesson, you'll learn what losses and gains can be surrendered through group relief, how to calculate the maximum amount a claimant company can claim, and how to handle overlapping accounting periods.
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In this lesson
- 0:00 Group relief surrender: what losses qualify
- 0:44 Brought forward trade losses and surrender rules
- 1:30 Unrelieved QCDs and property losses
- 2:04 Group relief claim: claimant company limits
- 2:48 Overlapping accounting periods explained
- 3:54 Worked example: Monro and Graham Limited
- 5:25 Corporation tax calculation with associates
About this lesson
Group relief allows companies within a 75% group to offset losses against profits, but there are strict rules: only losses that can't be used by the surrendering company can be surrendered, the claimant can only claim losses it can use in the current period, and both companies must have overlapping accounting periods for relief to apply. You'll work through a practical example showing how to prorate losses when a company joins a group partway through the year, and how to calculate the resulting corporation tax liability while accounting for associated companies and corporation tax rates.
Duration: 6m
Transcript
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