{
  "url": "https://openlegislation.uk/income-tax-act-2007/section-119",
  "json_url": "https://openlegislation.uk/income-tax-act-2007/section-119.json",
  "legislation": "ukpga/2007/3",
  "legislation_title": "Income Tax Act 2007",
  "legislation_url": "https://openlegislation.uk/income-tax-act-2007",
  "path": "section/119",
  "kind": "section",
  "number": "119",
  "heading": "How relief works",
  "text": "This section explains how the deductions are to be made. The amount of the loss to be deducted at any step is limited in accordance with section 25(4) and (5).\nStep 1\nDeduct the loss from the profits of the business for the next tax year.\nStep 2\nDeduct from the profits of the business for the following tax year the amount of the loss not previously deducted.\nStep 3\nContinue to apply Step 2 in relation to the profits of the business for subsequent tax years until all the loss is deducted.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2007/3/section/119",
    "retrieved_at": "2026-10-29T09:13:03.599581+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}