COM153050 - CT Pay and File: claims / reliefs: ACT: surrender surplus ACT caused by loss carry-back

Any ACT set-off in an AP, that is displaced by a carry-back, remains effective when you calculate the amount of tax that attracts late payment interest under S87A(6) TMA 1970.

Note: This is not the case if the company claims to surrender the displaced ACT set-off to another group company under S240 ICTA 1988.

Interest is calculated as if the displaced amount had never existed.

»Ê¹ÚÌåÓýappre is no need to intervene in such cases, as COTAX calculates the without regard to displaced reliefs.

See COM153051 for legislation applying to this subject.