Revenue closes income tax "sideways loss relief" loophole

Changes are effective immediately to the loss relief rules concerning Limited Liability Partnerships, says the Revenue, to prevent any business partner - who does not spend “significant” time or more than 10 hours a week – from claiming sideways loss relief. From February 10th, all partners will only be allowed to offset their income against losses up to the amount they contributed, rather than against the cut of the profit or loss they hold, says Dawn Primarolo. “These schemes exploit tax reliefs that are intended for people who risk their own money in running genuine businesses, but...