Company A is associated with Company B both being under the common control of X.
Company A trades with company B supplying stock and management expertise. Company B goes bust. As the nature of the relationship is a trading is the bad debt deductible in the CT comp of company A.
If it was nontrading relationship then presumably as connected there would be no relief available? though I did read something that if a liquidator was appointed that might sever the common control link in the following accounting period if the loan was written off in the succeeding period.
Paul