GLOSSARY
Group relief definition
What does Group relief mean?
This relief enables one company (the surrendering company) to surrender its current trading losses, capital allowances, non-trading deficits on loan relationships, excess management expenses, excess property business losses, excess non-trading losses on intangible fixed assets and excess charges on income, to another company (the claimant company), provided that both companies are in the same group throughout the relevant and respective accounting period(s).
The claim for group relief must be made in the claimant company's tax return (but it can be made by amendment to the original return). For the purposes of group relief, two companies are members of the same group if one is a 75% subsidiary of the other, or both are 75% subsidiaries of a third company. Group relief may also be claimed by members of a consortium in respect of losses and other debit items incurred by a company owned by the consortium.
Tax (Corporate & VAT)
This relief enables one company (the surrendering company) to surrender its current trading losses, capital allowances, non-trading deficits on loan relationships, excess management expenses, excess property business losses, excess non-trading losses
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