Readers’ forum: Can donations be offset against future income?

In a response to a recent question in this forum (Property investment company Taxation 22 September 2022 tinyurl.com/property-losses) readers helpfully commented that in some cases wasted qualifying donations by a company (ie made in a year where no profit arises) may be carried forward as ‘excess management expenses’ and therefore available to be deducted from future non-trading profits of the company.

This appears to refer to the provisions in CTA 2009 s 1223 on which I was unable to find further commentary.

Could readers clarify if there are any specific provisions/criteria for qualifying donations arising in loss-making years to effectively be available for offset against future non-trading income (albeit under a different title) rather than being otherwise wasted altogether?

Query 20 104 – Melchi.

Make a claim to set carried-forward management expenses against profit.

CTA 2009 s...