Taxes Consolidation Act 1997 section 395A

Right to carry-back losses sustained between 1 January 2020 and 31 December 2020

Section 395A is a spent provision that provided a time-limited carry-back relief for individuals who sustained trading or professional losses during the calendar year 2020, permitting those losses to be set against profits of the same trade or profession for the year of assessment 2019.

• The "relevant period" is 1 January 2020 to 31 December 2020; a "relevant loss" is a loss from that period which could otherwise be carried forward under section 382.
• An individual carrying on a trade or profession, as a sole trader or in partnership, may carry back any portion of a relevant loss and set it against Schedule D profits of the same trade or profession for the year of assessment 2019.
• Where carry-back relief is granted under this section, the same loss cannot also be claimed under any other provision of the Income Tax Acts.
• Where losses arise from different periods within the relevant year, relief must be given for losses incurred earlier in time before relief is given for losses incurred later in time.