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7.1. General Rules

Operating losses can be carried forward for 5 years. In contrast, companies holding oil and mineral license are allowed to carry forward losses indefinitely. However, expenses and tax losses related to oil and gas exploration and exploitation activities are segregated and can be set off only against taxable income from similar activities. In case of closure of a loss making oil and gas exploration and exploitation activity, the tax loss can be adjusted against the profit making oil and gas activity.

Carry back of losses is not allowed.

Further, operating losses are forfeited and are no longer available for carry-forward in case of a change of legal form or a significant change of ownership of the company by more than 30%.

Losses on financial instruments can be deducted from gains on financial assets.