§ Mr. Rooker
asked the Chancellor of the Exchequer if his Department issues any guidelines to purchasers of tax-loss companies with regard to the period of time over which the tax loss may be used.
§ Mr. Denzil Davies
No. Section 483 of the Taxes Act contains anti-avoidance provisions to ensure that the benefit of the losses is carried through the change of ownership only if stringent conditions relating to the nature, conduct and scale of the trading activities are satisfied. Provided that these tests are met, the normal rule applies under which there is not time limit placed on the use of the losses.