Losses, Groups and Chargeable Gains
Group relief, carried losses, gains groups, degrouping and group reorganisations.
How to study the CTA Qualification
Confirm your route first, use the 2026 Finance Act basis, complete the CBEs early and align Awareness, Advanced Technical and APS choices before developing integrated advisory answers.
Core concepts
Concept 1
Map ownership, periods and consortium interests before applying group rules.
Exam cue: Define the people, entities, transactions and dates relevant to losses, groups and chargeable gains.
Concept 2
Optimise current and carried losses within restrictions and commercial objectives.
Exam cue: Select the current CIOT syllabus rule, apply it to the evidence and show any necessary calculation.
Concept 3
Apply no-gain/no-loss transfers and degrouping rules to asset history.
Exam cue: State the compliance, professional and practical next step supported by the analysis.
Risk pitfalls and guardrails
Treating losses, groups and chargeable gains as a memory list without applying the scenario facts.
Guardrail: Do not mix route-specific requirements, choose conflicting Awareness and AT areas, use an obsolete tax rule, assume relief conditions or omit evidence, deadlines and ethics.
Assuming a relief, exemption, route or tax treatment without checking every condition.
Guardrail: Do not mix route-specific requirements, choose conflicting Awareness and AT areas, use an obsolete tax rule, assume relief conditions or omit evidence, deadlines and ethics.
Using an obsolete rule, missing a deadline or omitting the professional-conduct response.
Guardrail: Do not mix route-specific requirements, choose conflicting Awareness and AT areas, use an obsolete tax rule, assume relief conditions or omit evidence, deadlines and ethics.
Memory anchors
Losses, Groups and Chargeable Gains — Scope
Map ownership, periods and consortium interests before applying group rules.
Losses, Groups and Chargeable Gains — Rule
Optimise current and carried losses within restrictions and commercial objectives.
Losses, Groups and Chargeable Gains — Method
Apply no-gain/no-loss transfers and degrouping rules to asset history.
Losses, Groups and Chargeable Gains — Risk
Test substantial shareholding and reconstruction relief conditions.
Losses, Groups and Chargeable Gains — Action
Document elections, claims, valuations and entity-by-entity consequences.
Checkpoint rule
Do the check-up only after you can summarize each concept in one sentence and identify one dangerous pitfall from memory.
Knowledge Check (after reading)
Short check-up to confirm understanding of this module.
Check-up Questions
A £70,000 current loss offsets £100,000 same-period profits. Remainder?
What ownership commonly underpins group relief?
Answer all questions to submit.
Next step personalized recommendations
Continue learning
Move forward only after this module is stable.
What is Pass Harbor?
Completely free exam prep for 247 UK exams.
- Practice questions
- Flashcards
- Study guides
- Mock exams
- No registration
- No paywall
- Start instantly
“No more expensive exam prep. Quality study tools should be accessible to everyone.”