Paragraph 23

(1)

This paragraph applies if—

(a)

a person makes a loss (“the 2006-07 loss”) in a trade in the tax year 2006-07,

(b)

relief under section 380 or 381 of ICTA is not available for the 2006-07 loss (or for part of it) because of section 384(6) of that Act,

(c)

the person makes a loss (“the 2007-08 loss”) in the trade in the tax year 2007-08,

(d)

(apart from this paragraph) relief under section 64 or 72 of this Act is not available for the 2007-08 loss (or for part of it) because of section 75 of this Act,

(e)

the basis period for the tax year 2007-08 overlaps with the tax year 2006-07, and

(f)

ignoring this Act, section 384(6) of ICTA would not have prevented relief under section 380 or 381 of that Act being available for the 2007-08 loss (or for the part).

(2)

Section 75 of this Act is not to apply in relation to the 2007-08 loss (or to the part).