Annex 1: Minor changes in the law Change 8: Trading losses: restrictions: contribution to the firm in place of contribution to the trade: sections 56, 57, 58, 59, and 60
This change provides for certain restrictions on the use of trade losses, incurred by companies acting as limited partners or as members of limited liability partnerships (LLPs), to operate by reference to the company’s contribution to the firm (rather than contribution to the trade, as in the source legislation). It also deals with a number of consequential matters and clarifies a number of points about what is included in a company’s contribution.