Commentary on Sections Overview Overview Section 458: Claim to carry forward deficit to later accounting periods
1306.This section allows a company to make a claim to carry forward the deficit from the period in which it arose without the need to set it against non-trading profits under section 457. It is based on paragraph 4(3) to (5) of Schedule 9 to FA 1996.
1307.The deficit is then treated as if it arose in the “first later period” and falls to be carried forward to the subsequent period (ie it cannot be set against total profits of that first later accounting period). This rule also applies where no claim is made but the deficit cannot be set against non-trading profits of the first subsequent period.