26.5 In the year to 31 March 2009, D Ltd has chargeable profits of £800,000. In the nine months to 31 December 2009, the company incurs a trading loss of £600,000 and has no other income or gains. There is no franked investment income and there are no charges in either period.

(a) Describe the corporation tax effects of a claim under s393A(1)

(b) in relation to the trading loss (detailed computations are not required).

(b) Assuming that the company still has a substantial amount of unrelieved surplus ACT brought forward from before 6 April 1999, explain how a s393A(1)

(b) claim would affect the scope for relieving this ACT.