SCHEDULE 54 Repayment Interest

[Part A1 Special Provision as to Amount Carrying Repayment Interest]

Finance Act 2009 (2009 c 10) | Legislation

Section 102 [Part A1 Special Provision as to Amount Carrying Repayment Interest]

[Carry back of losses etc

(1) This paragraph applies where—

(a) a company has profits arising in an accounting period (“the earlier period”),

(b) there is for a later accounting period (“the later period”) a non-trading deficit on the company's loan relationships,

(c) as a result of a claim under section 389(1)[, 459(1)(b) or 463B(1)(b)] of CTA 2009, the whole or part of the deficit for the later period is set off against the profits of the earlier period, and

(d) a repayment falls to be made of corporation tax for the earlier period or of income tax in respect of a payment received by the company in that period.

(2) So much of the repayment mentioned in sub-paragraph (1)(d) as falls to be made as a result of the claim under section 389(1)[, 459(1)(b) or 463B(1)(b)] does not carry repayment interest.

(3) But sub-paragraph (2) does not apply (and, accordingly, the amount mentioned in that sub-paragraph carries repayment interest) after the expiry of 9 months from the end of the later period.

(1) This paragraph applies where—

(a)