In Commercial Union Assurance Co plc v Shaw (HM Inspector of Taxes) 1999 STC 109 it was held that charges on income must be used before double tax relief is taken.
Whether a company is or is not carrying on the same trade at different times is a question of fact. In the case of Bolands Ltd v Davis 1 ITC 91 a flour milling and bread making company closed down its two mills after incurring losses. About half of the flour it milled had been used to supply the bakeries. After about eight months the mills were reopened, mainly to supply the bakeries. It was held that the same trade had been carried on throughout.
A brewing company ceased brewing but continued to sell beer which was supplied to its specification by another company. It was held that the company had ceased one trade, the trade of brewing and had commenced another trade, the trade of selling beer. Gordon & Blair Ltd v IRC 1962 40 TC 358
In R v IRC, ex parte Unilever plc 1996 STC 681 it was held that where the Revenue had accepted informal claims for loss relief over a period of 20 years, it would be unfair and an abuse of power to insist on a formal claim being made within the time limit.