Section 188DJ | Condition 2: companies in link company's group

(1)Where—

(a)the claimant company makes a claim under section 188CB, and

(b)the claim is based on consortium condition 2,

the amount of relief to be given on the claim is limited by subsections (2) and (3).

(2)There is a limit on the amount of group relief for carried-forward losses that can be given, in total, to the claimant company for the claim period on consortium claims made in relation to losses and other amounts surrendered by the link company and group companies.

(3)That limit is the same as the limit that, as a result of section 188DH(2), would apply for the purposes of a consortium claim made by the claimant company for the claim period in relation to losses or other amounts surrendered by the link company, assuming that the link company was UK related.

(4)In determining the limit that would apply as a result of section 188DH(2) it is to be assumed that the accounting period of the link company is the same as the accounting period of the claimant company.

(5)In this section—

“consortium claim” means a claim for group relief for carried-forward losses under section 188CB,

“group company” means a company that is a member of the same group of companies as the link company (other than the link company itself), and

“UK related”, in relation to a company, has the meaning given by section 188CJ.