{
  "url": "https://openlegislation.uk/income-tax-act-2007/section-128",
  "json_url": "https://openlegislation.uk/income-tax-act-2007/section-128.json",
  "legislation": "ukpga/2007/3",
  "legislation_title": "Income Tax Act 2007",
  "legislation_url": "https://openlegislation.uk/income-tax-act-2007",
  "path": "section/128",
  "kind": "section",
  "number": "128",
  "heading": "Employment loss relief against general income",
  "text": "(1) A person may make a claim for employment loss relief against general income if the person—\n(a) is in employment or holds an office in a tax year, and\n(b) makes a loss in the employment or office in the tax year (“the loss-making year”).\n(2) The claim is for the loss to be deducted in calculating the person's net income—\n(a) for the loss-making year,\n(b) for the previous tax year, or\n(c) for both tax years.\n(See Step 2 of the calculation in section 23.)\n(3) If the claim is made in relation to both tax years, the claim must specify the year for which a deduction is to be made first.\n(4) Otherwise the claim must specify either the loss-making year or the previous tax year.\n(5) The claim must be made on or before the first anniversary of the normal self-assessment filing date for the loss-making year.\n(5A) No claim may be made in respect of the loss if and to the extent that it is made as a result of anything done in pursuance of arrangements the main purpose, or one of the main purposes, of which is the avoidance of tax.\n(6) Nothing in this section prevents a person who makes a claim specifying a particular tax year in respect of a loss from making a further claim specifying the other tax year in respect of the unused part of the loss.\n(7) This Chapter is subject to paragraph 2 of Schedule 1B to TMA 1970 (claims for loss relief involving two or more years).\n(8) This section needs to be read with section 129 (how relief works).",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "S. 128(5A) inserted (with effect in accordance with s. 68(2) of the amending Act) by Finance Act 2009 (c. 10), s. 68(1) (with s. 68(3))"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2007/3/section/128",
    "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."
}