Losses/negligible value
19/05/1977
Query
Assets of negligible value - when is a loss [under S.538(2)] allowed?
Decision
On a strict interpretation a loss arising on a deemed disposal under S.538(2) is allowable only in the year of claim. However, in practice, a claim made within twelve months of the end of the year of assessment or accounting period for which relief is sought will be admitted, provided that the asset was of negligible value in the year of assessment or account period concerned.
Capital Gains Tax
Section 538, Taxes Consolidation Act, 1997
Origin: RLS Division
File ref:G35(2)