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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Group relief of carried forward losses
Hi,
If a family own 3 separate limited companies and one has carried forward losses……..If they form a group, can the losses be surrendered to a profitable company at the end of the accounting year (assuming same year end)?
I know that if a company joins an existing group then losses cannot be surrendered for 5 years but this is if they form a group initially together and one has carried forward losses?
This is a strange question and one that would never be asked in an exam. It’ll either be a group or not, they will never ask you whether or not they should form a group.
But if they form a group then losses before they form cannot be group relieved obviously