# Income Tax Act 2007, Section 87: Ring fence trades


(1) This section applies if—
(a) a person makes a loss in a tax year carrying on oil-related activities (within the meaning of section 16 of ITTOIA 2005),
(b) those activities are treated under that section as a separate trade for the tax year or a subsequent tax year,
(c) the person makes profits in a subsequent tax year from other activities, and
(d) the other activities and the oil-related activities would, but for that section, together form a single trade.
(2) For the purposes of carry-forward trade loss relief for the loss, the person may treat profits from the other activities in a subsequent tax year as if they were profits of the separate trade (despite section 16 of ITTOIA 2005).

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Source: https://www.legislation.gov.uk/ukpga/2007/3/section/87 (the official version)
Page: https://openlegislation.uk/income-tax-act-2007/section-87
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.