# Corporation Tax Act 2009, Section 732: Reversal of previous accounting gain


(1) This section applies if—
(a) in a period of account a loss is recognised in determining a company's profit or loss (“the recognised loss”),
(b) the loss wholly or partly reverses a gain recognised in a previous period of account (“the reversed gain”), and
(c) a credit was brought into account for tax purposes under Chapter 2 (credits in respect of intangible fixed assets) in respect of that gain (“the previous credit”).
(2) A corresponding debit must be brought into account for tax purposes.
(3) The amount of that debit is—
RL×PCRGwhere—
RL is the recognised loss,
PC is the previous credit, and
RG is the reversed gain.
(4) References in this section to the recognition of a loss that reverses a gain recognised in a previous period of account do not include a loss recognised—
(a) by way of amortisation of an asset that has previously been the subject of a revaluation, or
(b) as a result of an impairment review of such an asset.
(5) In subsection (4) “revaluation” has the same meaning as in section 723 (see subsection (5) of that section).

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Source: https://www.legislation.gov.uk/ukpga/2009/4/section/732 (the official version)
Page: https://openlegislation.uk/corporation-tax-act-2009/section-732
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.