Corporation Tax Act 2009

the company is UK resident, or

the company is not UK resident and the income is within its chargeable profits as defined by section 19.

of a type mentioned in subsection (3), and

attributable to the permanent establishment in accordance with sections 20 to 32.

trading income arising directly or indirectly through or from the establishment,

income from property or rights used by, or held by or for, the establishment, and

engaged in the same or similar activities under the same or similar conditions, and

dealt wholly independently with the non-UK resident company.

the permanent establishment has the same credit rating as the non-UK resident company, and

the permanent establishment has such equity and loan capital as it could reasonably be expected to have in the circumstances specified in that subsection.

the non-UK resident company is a bank, and

there is a transfer of a loan or other financial asset between the permanent establishment and any other part of the company.

is a bank, and

makes a loan or has another financial asset.

obtaining the offer of new business,

establishing the potential borrower’s credit rating and the risk involved in providing credit,

negotiating the terms of the loan with the borrower, and

deciding whether, and if so on what conditions, to make or extend the loan.

concluding the loan agreement and disbursing the proceeds of the loan, and

administering the loan (including handling and monitoring the service of it) and holding and controlling any securities pledged.

the financial risk is capable of giving rise to fees or other receipts, and

the holding of capital is required for the financial risk (or would be required if the transaction were between parties at arm’s length).

the non-UK resident company is a bank, and

the permanent establishment borrows funds for the purposes of another part of the company and (in relation to that borrowing) acts only as an agent or intermediary.

the profits attributable to the permanent establishment, and

the capital attributable to the permanent establishment under section 21(2)(b),

banking, deposit-taking, money-lending or debt-factoring, or a business similar to any of those, and

dealing in commodity or financial futures.

on a commercial basis, and

with a view to the realisation of profits.

on a commercial basis, and

with a view to the realisation of profits.

to farming or market gardening (which is dealt with by section 36),

if the land is being prepared for forestry purposes,

if the land comprises woodlands (which is dealt with by section 37), or

to the occupation by an insurance company of land which is an asset of the company’s long-term insurance fund.

mines and quarries (including gravel pits, sand pits and brickfields),

ironworks, gasworks, salt springs or works, alum mines or works, waterworks and streams of water,

canals, inland navigation, docks and drains or levels,

rights of fishing,

rights of markets and fairs, tolls, bridges and ferries,

railways and other kinds of way, and

a concern of the same kind as one specified in paragraph (b), (c), (d) or (e).

if it is carried on by an insurance company on land which is an asset of the company’s long-term insurance fund, or

if section 38 (commercial occupation of land other than woodlands) applies to the occupation of the land out of which the profits or losses arise.

makes loans to its members, or

invests its surplus funds (by placing them on deposit or otherwise),

as starting to carry on the trade when it starts to be within the charge, or

as ceasing to carry on the trade when it ceases to be within the charge.

in the course of carrying on a trade a company (“the trader”) supplies, or is concerned in the supply of, goods sold or used on premises occupied by another person,

the trader has an estate or interest in the premises,

the estate or interest is dealt with as property employed for the purposes of the trade, and

receipts and expenses in connection with the premises would otherwise be brought into account in calculating the profits of a property business of the trader.

the receipts or expenses do not relate only to the premises, or

the above conditions are met only in relation to part of the premises,

a company (“the trader”) carries on material activities connected with the operation of a caravan site,

the activities are, or are part of, a trade, and

receipts from, and expenses of, lettings of caravans or pitches for caravans on the site would otherwise be brought into account in calculating the profits of a property business of the trader.

a company (“the trader”) carrying on a trade obtains receipts from a letting of business accommodation that is temporarily surplus to requirements (see subsections (3) and (4)),

the accommodation is not held as trading stock,

the receipts are in respect of part of a building of which another part is used to carry on the trade,

the receipts are relatively small, and

the receipts, and the expenses of the letting, would otherwise be brought into account in calculating the profits of a property business of the trader.

it has been used within the last 3 years to carry on the trade or acquired within the last 3 years,

the trader intends to use it to carry on the trade at a later date, and

the letting is for a term of not more than 3 years.

a company (“the trader”) carries on a trade on some or all of the land to which a wayleave relates,

rent is receivable, or expenses are incurred, by the trader in respect of the wayleave, and

apart from any rent or expenses in respect of a wayleave, no other receipts or expenses in respect of any of the land are brought into account in calculating the profits of any property business of the trader.

the trader would otherwise be liable to tax under Chapter 8 of Part 4 in respect of the rent for the wayleave (rent receivable for UK electric-line wayleaves), or

expenses incurred by the trader in respect of the wayleave would otherwise be brought into account in calculating profits charged under that Chapter,

rent for the wayleave would otherwise be brought into account in calculating the profits of a property business of the trader, or

expenses incurred by the trader in respect of the wayleave would otherwise be so brought into account,

a receipt mentioned in section 207(3), and

any other receipt in the nature of rent.

an electric, telegraph or telephone wire or cable,

a pipe for the conveyance of any thing, or

any apparatus used in connection with such a pipe.

a pole or pylon supporting such a wire or cable, or

apparatus used in connection with such a wire or cable.

no deduction would otherwise be allowed for the expenses, but

a deduction would be allowed for them if they were incurred on the start date,

any debit falls, or

any debit would fall but for section 330 (loan relationships: debits in respect of pre-trading expenditure),

references to a lease being granted out of a taxed lease are to the grant of a sublease of land subject to the taxed lease, and

references to the lease so granted are to be read as references to the sublease.

that falls within the receipt period of the taxed receipt, and

on which the tenant occupies the whole or part of the land subject to the taxed lease for the purposes of carrying on a trade.

does not occupy the land subject to the taxed lease, or a part of it, but

deals with its interest in the land, or the part of it, as property employed for the purposes of carrying on a trade.

in calculating the amount of a receipt of a property business under Chapter 4 of Part 4 (profits of property businesses: lease premiums etc) in respect of the lease, there is a reduction under section 228 (the additional calculation rule) by reference to the taxed receipt, or

in calculating the amount of a receipt of a property business under Chapter 4 of Part 3 of ITTOIA 2005 (profits of property businesses: lease premiums etc) in respect of the lease, there is a reduction under section 288 of that Act (the additional calculation rule) by reference to the taxed receipt.

section 66 applies, and

the lease granted out of the taxed lease does not extend to the whole of the premises subject to the taxed lease.

more than one lease that does not extend to the whole of the premises subject to the taxed lease has been granted out of the taxed lease, and

the qualifying day falls within the receipt period of two or more lease premium receipts that relate to different leases,

expenses are incurred on replacing or altering any tool used for the purposes of a trade, and

a deduction for the expenses would not otherwise be allowable in calculating the profits of the trade because (and only because) they are items of a capital nature.

which is treated as earnings of an employee by virtue of section 225 of ITEPA 2003 (payments for restrictive undertakings), and

which is made, or treated as made for the purposes of section 226 of that Act (valuable consideration given for restrictive undertakings), by the company carrying on the trade.

is made, or

is treated as made for the purposes of section 226 of ITEPA 2003.

a charity, or

an educational establishment,

a local education authority,

an educational institution maintained or otherwise supported by a local education authority,

an independent school within the meaning of the Education Act 1996 (c. 56) registered under section 161 of the Education Act 2002 (c. 32), or

an institution within the further education sector, or the higher education sector, within the meaning of the Further and Higher Education Act 1992 (c. 13).

an education authority within the meaning of the Education (Scotland) Act 1980 (c. 44),

an educational establishment within the meaning of the Education (Scotland) Act 1980 managed by an education authority within the meaning of that Act,

a public or grant-aided school within the meaning of the Education (Scotland) Act 1980,

an independent school within the meaning of the Education (Scotland) Act 1980,

a central institution within the meaning of the Education (Scotland) Act 1980 (c. 44),

an institution within the higher education sector within the meaning of section 56(2) of the Further and Higher Education (Scotland) Act 1992 (c. 37), or

a college of further education within the meaning of section 36(1) of the Further and Higher Education (Scotland) Act 1992.

an education and library board within the meaning of the Education and Libraries (Northern Ireland) Order 1986 (S.I. 1986/594 (N.I. 3)),

a college of education, a grant-aided school or an independent school within the meaning of the Education and Libraries (Northern Ireland) Order 1986, or

an institution of further education within the meaning of the Further Education (Northern Ireland) Order 1997 (S.I. 1997/1772 (N.I. 15)).

a company carrying on a trade (“the employer”) is liable to make payments to an individual,

income tax falls to be deducted from those payments as a result of PAYE regulations, and

the employer withholds sums from those payments in accordance with an approved scheme and pays the sums to an approved agent.

have been incurred, or

are to be incurred,

the company carrying on the trade (“the employer”) incurs the expenses,

the expenses are incurred in relation to a person (“the employee”) who holds or has held an office or employment under the employer for the purposes of the trade, and

the relevant conditions are met.

in the provision of services to the employee in connection with the cessation of the office or employment,

in the payment or reimbursement of fees for such provision, or

in the payment or reimbursement of travelling expenses in connection with such provision.

conditions A to D for the purposes of section 310 of ITEPA 2003 (employment income exemptions: counselling and other outplacement services), and

in the case of travel expenses, condition E for those purposes.

the company carrying on the trade (“the employer”) incurs the expenses,

they are incurred in relation to a person (“the employee”) who holds or has held an office or employment under the employer for the purposes of the trade, and

the relevant conditions are met.

an employer’s liability to corporation tax for an accounting period is determined on the assumption that a deduction for expenditure is allowed under section 74, and

the deduction would not otherwise have been allowed.

the condition in section 311(4)(a) of ITEPA 2003 is not met because of the employee’s failure to begin the course within the period of one year after ceasing to be employed, or

the condition in section 311(4)(b) of ITEPA 2003 is not met because of the employee’s continued employment or re-employment,

the employee’s failure to begin the course,

the employee’s continued employment, or

the employee’s re-employment,

the failure to begin the course,

the continued employment, or

the re-employment.

a company (“the employer”) makes a redundancy payment or an approved contractual payment to another person (“the employee”), and

the payment is in respect of the employee’s employment wholly in the employer’s trade or partly in the employer’s trade and partly in one or more other capacities.

Part 11 of the Employment Rights Act 1996 (c. 18), or

Part 12 of the Employment Rights (Northern Ireland) Order 1996 (S.I. 1996/1919 (N.I. 16)).

the payment is in respect of the employee’s employment wholly in the employer’s trade, and

no deduction would otherwise be allowable for the payment.

partly in the employer’s trade, and

partly in one or more other capacities.

the employment in the trade, and

the employment in the other capacities.

the redundancy payment, or

if an approved contractual payment is made, the amount that would have been due if a redundancy payment had been payable.

no deduction would otherwise be allowable for the additional payment, but

a deduction would be allowable for it if the employer had not permanently ceased to carry on the trade or the part of the trade,

the redundancy payment, or

if an approved contractual payment is made, the amount that would have been due if a redundancy payment had been payable.

there is a change in the persons carrying on a trade, and

the trade is carried on by persons in partnership before or after the change (or at both those times).

the Secretary of State makes a payment under section 167 of the Employment Rights Act 1996 (c. 18), or

the Department for Employment and Learning makes a payment under Article 202 of the Employment Rights (Northern Ireland) Order 1996 (S.I. 1996/1919 (N.I. 16)).

a redundancy payment, or

an approved contractual payment,

to a local enterprise organisation (see section 83), or

to an urban regeneration company (see section 86),

receives a disqualifying benefit of any kind, or

is entitled to receive such a benefit,

from the local enterprise organisation or urban regeneration company concerned, or

from anyone else.

a deduction has been made under this section, and

the contributor or a connected person receives a disqualifying benefit that is in any way attributable to the contribution.

is brought into account in calculating the profits of the trade, as a receipt arising in the accounting period in which the benefit is received, or

if the contributor has permanently ceased to carry on the trade before the benefit is received, is treated as a post-cessation receipt (see Chapter 15).

a local enterprise agency,

a training and enterprise council,

a Scottish local enterprise company, or

a business link organisation.

the Secretary of State (in relation to England or Northern Ireland),

the Scottish Ministers (in relation to Scotland), or

the Welsh Ministers (in relation to Wales).

Scottish Enterprise, or

Highlands and Islands Enterprise,

whatever its status or structure, and

even if it is not described as a local enterprise agency.

that the body’s sole aim is the promotion or encouragement of local enterprise, or

that one of the body’s main aims is the promotion or encouragement of local enterprise and that it has or is about to have a separate fund for the sole purpose of pursuing that aim.

to any of its members, or

to any person charged with the control and direction of its affairs.

reasonable remuneration for goods, labour or power supplied or for services provided,

reasonable interest on money lent, or

reasonable rent for premises,

accounts,

provision of information, and

other matters,

the approval must specify the fund, and

section 82 applies only to a contribution to the body made wholly to or for the purposes of the fund.

condition A or B in section 84 is no longer met, or

the body is failing to comply with a requirement imposed as a condition of its approval.

its sole or main function is to co-ordinate the regeneration of a specific urban area in the United Kingdom,

it is expected to seek to perform that function by creating a plan for the development of that area and trying to secure that the plan is carried into effect, and

in co-ordinating the regeneration of that area, it is expected to work together with some or all local or other public authorities which exercise functions in relation to the whole or part of that area.

related to the trade, and

directly undertaken by or on behalf of the company,

do not include expenses incurred in the acquisition of rights in, or arising out of, research and development, but

subject to that, include all expenses incurred in carrying out, or providing facilities for carrying out, research and development.

research and development which may lead to or facilitate an extension of the trade, and

research and development of a medical nature which has a special relation to the welfare of workers employed in the trade.

pays any sum to an Association in the case of which exemption may be claimed under section 508 of ICTA and which has as its object the undertaking of research and development which may lead to or facilitate an extension of the appropriate class of trade, or

pays to an approved university, college, research institute or other similar institution any sum to be used for scientific research related to the appropriate class of trade,

“the appropriate class of trade” means the class of trade to which the trade carried on by the company belongs, and

“scientific research” means any activities in the fields of natural or applied science for the extension of knowledge.

scientific research which may lead to or facilitate an extension of trades of the appropriate class, and

scientific research of a medical nature which has a special relation to the welfare of workers employed in trades of the appropriate class.

whether, or

to what extent,

spent by the company in paying a levy, or

paid by the company as a result of an award of costs under costs rules,

rules made under section 230 of FISMA 2000, or

provision relating to costs contained in the standard terms fixed under paragraph 18 of Schedule 17 to FISMA 2000.

a payment required under rules made under section 136(2) of FISMA 2000,

a levy imposed under the Financial Services Compensation Scheme,

a payment required under rules made under section 234 of FISMA 2000,

a payment required under the rules referred to in paragraph 14(1) of Schedule 17 to FISMA 2000 in accordance with paragraph 15(1) of that Schedule, or

a payment required in accordance with the standard terms fixed under paragraph 18 of that Schedule (other than a sum paid as a result of an award of costs under costs rules).

in calculating the profits of a trade, a deduction is allowed for the expense giving rise to a debt owed by the company carrying on the trade,

all or part of the debt is released, and

the release is not part of a statutory insolvency arrangement.

is brought into account as a receipt in calculating the profits of the trade, and

is treated as arising in the accounting period in which the release is effected.

a person (“the transferor”) permanently ceased to carry on a trade at any time,

at that time the transferor transferred to another person (“the transferee”) the right to receive sums arising from the carrying on of the trade, and

the transferee subsequently carries on the transferor’s trade.

which the transferee receives as a result of the transfer, and

which are not brought into account in calculating the profits of the transferor’s trade for corporation or income tax purposes of any period before the cessation,

conditions A, B and C are met, and

it is not excluded by section 97.

the recipient, or

a person connected with the recipient.

the recipient, or

the person connected with the recipient,

the person (“the grantor”) by whom the estate, interest or right is granted or was granted at an earlier time,

a person connected with the grantor, or

a nominee of, or a person acting on the directions of, the grantor or a person connected with the grantor.

the person entering into the transaction is an individual, and

the transaction relates to premises occupied or to be occupied by the individual as the individual’s only or main residence.

two or more of the parties to the property arrangements are connected persons, and

the terms of those arrangements are not such as would reasonably have been expected if those persons had been dealing at arm’s length.

in the market conditions then prevailing, and

between persons dealing with each other at arm’s length in the open market.

which is not then carried on by the recipient, but

which the recipient subsequently starts to carry on,

a deduction has been made in calculating the profits of a trade for a payment to a mutual concern for the purposes of its mutual business,

the concern is being or has been wound up or dissolved,

a company (“the recipient”) which is carrying on the trade, or was doing so at the time of the payment, receives money or money’s worth representing the concern’s assets, and

the assets in question represent profits of the mutual business conducted by the concern.

is not carrying on the trade at the time the money or money’s worth is received, but

was doing so at the time of the payment to the mutual concern,

forms part of the assets of the concern,

forms part of the consideration for the transfer of the assets of the concern as part of a scheme of amalgamation or reconstruction which involves its winding up, or

consists of the consideration for a transfer or surrender of a right to receive anything falling within paragraph (a) or (b) and does not give rise to a charge to corporation tax on the company receiving it otherwise than as a result of this section.

forms part of the assets of a mutual concern, or

forms part of the consideration for the transfer of the assets of a mutual concern,

section 7 or 8 of the Industrial Development Act 1982 (c. 52), or

Article 7, 9 or 30 of the Industrial Development (Northern Ireland) Order 1982 (S.I. 1982/1083 (N.I. 15)).

the grant is designated as made towards the cost of specified capital expenditure,

the grant is designated as compensation for the loss of capital assets, or

the grant is for all or part of a corporation tax liability (including one that has already been met).

a deduction has been made for a loss or expense in calculating the profits of a trade,

a company carrying on the trade recovers a sum under an insurance policy or a contract of indemnity in respect of the loss or expense, and

the sum is not of a revenue nature.

a company carries on a trade, and

a payment is made to the company as a result of a repayment provision.

any provision made by virtue of section 136(7) or 214(1)(e) of FISMA 2000, or

any provision made by scheme rules for fees to be refunded in specified circumstances.

a charity, a registered club or a body listed in subsection (4), or

a designated educational establishment (see section 106),

the Trustees of the National Heritage Memorial Fund,

the Historic Buildings and Monuments Commission for England, and

the National Endowment for Science, Technology and the Arts.

for England and Scotland, by the Secretary of State,

for Wales, by the Welsh Ministers, and

for Northern Ireland, by the Department of Education.

in the case of an establishment in England or Scotland, to the Secretary of State,

in the case of an establishment in Wales, to the Welsh Ministers, and

in the case of an establishment in Northern Ireland, to the Department of Education.

are a statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (S.I. 1979/1573 (N.I. 12)), and

are subject to negative resolution within the meaning of section 41(6) of the Interpretation Act (Northern Ireland) 1954 (c. 33 (N.I.)).

a company carrying on a trade makes a gift from trading stock of medical supplies or medical equipment,

it makes the gift for humanitarian purposes, and

the supplies or equipment are for human use.

section 105,

section 107(2), or

section 63(2) of CAA 2001 (gifts to charities etc of plant or machinery used in the trade),

relief is given under section 107(3) for costs of transportation, delivery or distribution incurred by a company carrying on a trade, and

the company, or a person connected with the company, receives a benefit which is in any way attributable to the company’s incurring of those costs.

is brought into account in calculating the profits of the trade, as a receipt of the trade arising in the accounting period in which the benefit is received, or

if the company has permanently ceased to carry on the trade before the benefit is received, is treated as a post-cessation receipt (see Chapter 15).

are not treated as trading stock (see section 50), but

are treated instead in accordance with sections 112 to 121 (“the herd basis rules”).

“animal” means any animal or other living creature,

“herd” includes a flock and any other collection of animals (however named), and

“production herd” means, in relation to a farmer, a herd of animals of the same species (irrespective of breed) kept by the farmer wholly or mainly for the products obtainable from the living animal which the animals produce for the farmer to sell.

the young of the animal, or

any other product obtainable from the animal without slaughtering it.

the nature of the land on which the herd is kept means that animals which die or cease to be part of the herd can be replaced only by animals bred and reared on the land,

the immature animals in question are bred in the herd and are maintained in the herd for the purpose of replacing other animals, and

it is necessary to maintain the immature animals for that purpose.

in relation to animals kept singly as it applies in relation to herds, and

in relation to shares in animals as it applies in relation to animals themselves.

the animals kept in both herds are of the same species (irrespective of breed), and

the products produced for the farmer to sell (for which the herds are wholly or mainly kept) are of the same kinds in both herds.

money received from an insurer because of the animal’s death or destruction,

compensation money received because of the animal’s death or destruction, and

the sale proceeds of the animal’s carcass or any part of its carcass.

in the case of laying birds, when they first lay, and

in any other case, when they produce their first young.

in the case of an animal bred by the farmer, the cost of breeding the animal and rearing it to maturity, and

in any other case, the sum of the initial cost of acquiring the animal and the cost (if any) incurred by the farmer in rearing the animal to maturity.

an animal (“the old animal”) is sold from the herd or otherwise ceases to be part of the herd, and

it is replaced in the herd by another animal (“the new animal”).

section 115 (amount of receipt if old animal slaughtered under disease control order),

section 118 (acquisition of new herd begun within 5 years of sale), and

section 120 (replacement of part sold begun within 5 years of sale).

the old animal was slaughtered under a disease control order, and

the new animal is of worse quality than the old animal,

central government,

a devolved authority,

a local authority, or

another public authority.

in the case of an animal bred by the farmer, the cost of breeding the animal and rearing it to maturity, and

in any other case, the sum of the initial cost of acquiring the animal and the cost (if any) incurred by the farmer in rearing the animal to maturity.

it is replaced in the herd by another animal (see section 114), or

it is sold as part of the sale of the whole or a substantial part of the herd that takes place all at once or over a period not longer than 12 months (see section 117).

in the case of an animal bred by the farmer, the cost of breeding the animal and rearing it to maturity,

in the case of an animal acquired by the farmer for valuable consideration, the sum of the initial cost to the farmer of acquiring the animal and the cost (if any) incurred by the farmer in rearing the animal to maturity, and

in the case of an animal acquired by the farmer but not for valuable consideration, the sum of the market value of the animal when acquired and the cost (if any) incurred by the farmer in rearing the animal to maturity.

section 118 applies (acquisition of new herd begun within 5 years of sale), or

section 120 applies (replacement of part sold begun within 5 years of sale),

either all at once or over a period not longer than 12 months, the herd (“the old herd”) is sold, and

the farmer acquires or starts to acquire another production herd of the same class (“the new herd”) within 5 years of the sale.

the number of animals in the old herd, or

if smaller, the number of animals in the new herd,

sold from the old herd, and

replaced in that herd by another animal (“the new animal”),

the number of animals in the new herd is smaller than the number of animals in the old herd, and

the difference is not substantial,

section 117 (sale of whole or substantial part of herd where replacement not begun within 5 years), or

section 120 (sale of substantial part of herd where replacement begun within 5 years),

if the difference between the number of animals in the new herd and the number of animals in the old herd is equal to 20% or more of the number of animals in the old herd, the difference is substantial, but

a lesser percentage than 20% is capable of being a substantial difference depending on the circumstances of the case concerned.

the farmer was compelled to sell the old herd for reasons wholly outside the farmer’s control, and

an animal (“the new animal”) that is treated as a result of section 118(2) as if it replaced an animal sold (“the old animal”) is of worse quality than the old animal,

in the case of an animal bred by the farmer, the cost of breeding the animal and rearing it to maturity, and

in any other case, the sum of the initial cost of acquiring the animal and the cost (if any) incurred by the farmer in rearing the animal to maturity.

either all at once or over a period not longer than 12 months, a substantial part of the herd is sold, and

the farmer acquires or starts to acquire animals to replace the part sold within 5 years of the sale.

a profit arising from their sale is not brought into account as a receipt, and

no deduction is allowed for a loss arising from their sale.

the farmer was compelled to sell the part of the herd for reasons wholly outside the farmer’s control, and

an animal (“the new animal”) that replaces an animal sold (“the old animal”) is of worse quality than the old animal,

in the case of an animal bred by the farmer, the cost of breeding the animal and rearing it to maturity, and

in any other case, the sum of the initial cost of acquiring the animal and the cost (if any) incurred by the farmer in rearing the animal to maturity.

not later than two years after the end of the first relevant accounting period (if the farmer is not a firm), or

on or before the first anniversary of the normal self-assessment filing date for the tax year in which the first relevant period of account ends (if the farmer is a firm).

“the first relevant accounting period” means the first accounting period in which the farmer making the election keeps a production herd of the class to which the election relates, and

“the first relevant period of account” means the first period of account in which the firm making the election keeps a production herd of the class to which the election relates (but see subsection (8)).

has ceased to keep before making the election, or

first keeps after making the election.

for every accounting period in which the farmer carries on the trade and keeps a production herd of the class to which the election relates (if the farmer is not a firm), or

for every period of account in which the farmer carries on the trade and keeps a production herd of the class to which the election relates (if the farmer is a firm).

any herd basis election made by the old firm ceases to have effect, and

in relation to the new firm, “the first relevant period of account” means the first period of account in which the new firm keeps a production herd of the class to which the election relates.

keeps a production herd of a particular class, and

ceases altogether to keep herds of that class for a period of at least 5 years.

the accounting period or (as the case may be) period of account in which the farmer starts to keep the herd is treated as the first accounting period or period of account in which the farmer keeps a production herd of that class, and

any herd basis election previously made by the farmer in relation to production herds of that class ceases to have effect.

the whole or a substantial part of a production herd kept by a farmer is slaughtered under a disease control order, and

the circumstances of the slaughter are such that compensation is payable in respect of the animals slaughtered.

in which the compensation falls to be brought into account in calculating the profits of the trade, or

in which it would (but for the election) fall to be so brought into account,

carries on the trade, and

keeps a production herd of the class to which the election relates.

central government,

a devolved authority,

a local authority, or

another public authority.

a person carrying on a trade (the “transferor”) transfers the whole or part of a production herd to another person (the “transferee”),

the transfer is not by way of sale or is by way of sale but for a price other than that which the animals sold would have fetched if sold in the open market, and

the control condition or herd basis benefit condition is met.

the transferor is a body of persons over which the transferee has control,

the transferee is a body of persons over which the transferor has control, or

both the transferor and transferee are bodies of persons and another person has control over both of them.

the transferor or transferee (or both) might (but for this section) have been expected to obtain a herd basis benefit as a result of the transfer or the transactions of which the transfer is one, and

the herd basis benefit is the sole or main benefit, or one of the main benefits, that the person in question might have been expected to obtain.

the obtaining of a right to make a herd basis election,

the herd basis rules applying or not applying, or

the herd basis rules having a greater or lesser effect.

the trade carried on by the transferor, and

any trade carried on by the transferee,

the animals kept for the purposes of the trade, and

the products of those animals,

the company carries on a banking business, an insurance business or a business consisting wholly or partly of dealing in securities, and

a profit on the sale of securities held by the company would be brought into account in calculating the trading profits of that business.

calculated by reference to the fair value of the securities, and

recognised in the company’s statement of recognised gains and losses or statement of changes in equity,

to an amount so far as deriving from or otherwise relating to an amount brought into account under that subsection in an earlier period of account, or

to an amount recognised for accounting purposes by way of correction of a fundamental error.

shares,

rights of unit holders in unit trust schemes to which TCGA 1992 applies as a result of section 99 of TCGA 1992, and

in the case of a company with no share capital, interests in the company possessed by members of the company,

the company carries on a banking business, an insurance business or a business consisting wholly or partly of dealing in securities,

a transaction falling within subsection (2) occurs in relation to securities (“the original holding”), and

a profit on the sale of the securities would be brought into account in calculating the trading profits of that business.

it results in a new holding being treated as the same as the original holding as a result of sections 126 to 136 of TCGA 1992 (roll-over relief in cases of conversion etc), or

it is treated, as a result of section 134 of TCGA 1992 (compensation stock), as an exchange for a new holding which does not involve a disposal of the original holding.

receives consideration in addition to the new holding, or

becomes entitled to receive such consideration,

shares,

rights of unit holders in unit trust schemes to which TCGA 1992 applies as a result of section 99 of TCGA 1992, and

in the case of a company with no share capital, interests in the company possessed by members of the company.

a UK distribution, or

a payment representative of a UK distribution,

a payment made by a company carrying on a trade is representative of a UK distribution, and

but for section 1305(1) (company’s profits to be computed without any deduction for distributions), a deduction would be allowed for the payment in calculating the profits of the trade.

the shares are qualifying shares for the purposes of section 117(4) of TCGA 1992, and

the condition in subsection (2) is met.

dividend or other distribution, or

interest,

which are incurred on fees, commissions, advertising, printing and other incidental matters, and

which are incurred wholly and exclusively for the purpose of obtaining the finance, providing security for it or repaying it.

obtaining finance, or

providing security for it,

sums paid because of losses resulting from movements in the rate of exchange between different currencies,

sums paid for the purpose of protecting against such losses,

the cost of repaying qualifying shares so far as attributable to their being repayable at a premium or having been issued at a discount, and

stamp duty.

the society does not sell to persons who are not its members, or

the number of shares in the society is not limited by the society’s rules or practice.

the sum represents a discount, rebate, dividend or bonus granted by the society to a member or other person (“the recipient”),

those transactions are taken into account in calculating the society’s profits chargeable under this Part.

the amounts paid or payable by or to the recipient, or

the size of the transactions,

the woodlands are subsequently sold in the course of the trade, and

any of the trees or underwood are still growing on the land at the time of the sale,

which the company is entitled to receive under a mineral lease or agreement, and

which are not chargeable to tax under Chapter 7 of Part 4 (rent receivable in connection with a UK section 39(4) concern) because of the priority rule in section 287.

lease premiums within section 217,

sums within section 219 (sums payable instead of rent),

sums within section 220 (sums payable for surrender of a lease),

sums within section 221 (sums payable for variation or waiver of terms of lease),

consideration for the assignment of a lease within section 222 (lease granted at an undervalue), and

amounts received on the sale of an estate or interest in land within section 224 (sales with right to reconveyance) or section 225 (sale and leaseback transactions).

the company carrying on the trade makes a claim under section 238 or 239, and

as a result of the claim a repayment of tax is made to that company,

by assessment or otherwise, and

at any time at which it could be made if it related only to tax for the accounting period in which the claim under section 238 or 239 is made.

the company carrying on the trade incurs expenditure on mineral exploration and access in an area or group of sands, and

the presence of mineral deposits in commercial quantities has already been established in that area or group of sands.

the company carrying on the trade is liable to pool betting duty,

there is a reduction in that duty, and

the company makes a qualifying payment in consequence of that reduction.

made in order to meet (directly or indirectly) capital expenditure incurred by any person in improving the safety or comfort of spectators at a ground to be used for the playing of association football, or

made to trustees established mainly for the support of athletic sports or athletic games but with power to support the arts.

the amount of the deemed employment payment, and

the amount of any employer’s national insurance contributions paid by the intermediary in respect of it.

the deemed employment payment, or

any employer’s national insurance contributions paid by the intermediary in respect of it,

5% of the amount taken into account at Step 1 of the calculation in section 54(1) of ITEPA 2003 (calculation of deemed employment payment), and

the amount deductible at Step 3 of that calculation.

the amount of the deemed employment payment, and

the amount of any employer’s national insurance contributions paid by the MSC in respect of it.

the deemed employment payment, or

any employer’s national insurance contributions paid by the MSC in respect of it,

the company carrying on the trade (“the trader”), or a predecessor, has incurred site preparation expenditure in relation to the site in the course of carrying on the trade, and

at the time the trader first deposits waste materials on the site, the trader holds a waste disposal licence which is then in force.

has ceased to carry on the trade carried on by the trader or ceased to carry on a trade so far as relating to the site, and

has transferred the whole of the site to the trader,

the trade carried on by the trader is treated as the same as the trade carried on by the predecessor, and

deductions are to be allowed to the trader (and not to the predecessor) as if everything done to or by the predecessor were done to or by the trader.

the meaning of “site preparation expenditure”, “waste disposal licence” and “waste disposal site”, and

a rule about pre-trading expenditure,

any of that expenditure for which an allowance has been, or may be, made for corporation or income tax purposes under the enactments relating to capital allowances,

any of that expenditure for which a deduction has been made in calculating for corporation or income tax purposes the profits of an earlier period of account, and

if the trader started to carry on the trade before 6 April 1989, the excluded amount of any unrelieved old expenditure (see subsections (3) and (4)).

was incurred by the trader in relation to the waste disposal site before 6 April 1989, and

does not fall within subsection (2)(a) or (b).

a disposal licence under Part 1 of the Control of Pollution Act 1974 (c. 40) or Part 2 of the Pollution Control and Local Government (Northern Ireland) Order 1978 (S.I. 1978/1049 (N.I. 19)),

a waste management licence under Part 2 of the Environmental Protection Act 1990 (c. 43) or any corresponding provision for the time being in force in Northern Ireland,

an authorisation under the Radioactive Substances Act 1960 (c. 34) or the Radioactive Substances Act 1993 (c. 12) for the disposal of radioactive waste, or

a nuclear site licence under the Nuclear Installations Act 1965 (c. 57).

on the date on which the company starts to carry on the trade, and

in the course of carrying it on.

any amount of the payment that represents expenditure for which an allowance has been, or may be, made under the enactments relating to capital allowances, and

any amount of the payment that represents expenditure for which a deduction has been made in calculating the profits of the trade of an earlier period of account.

a condition of a waste disposal licence (as defined in section 144(1)),

a condition imposed on the grant of planning permission to use the site for the collection, treatment, conversion and final depositing of waste materials or for the carrying out of any of those activities, or

a relevant planning obligation.

an obligation arising under an agreement made under section 106 of the Town and Country Planning Act 1990 (c. 8) (as originally enacted) or any corresponding provision for the time being in force in Northern Ireland,

an obligation arising under an agreement made under section 75 of the Town and Country Planning (Scotland) Act 1997 (c. 8),

a planning obligation entered into under section 106 of the Town and Country Planning Act 1990 (as substituted by section 12 of the Planning and Compensation Act 1991 (c. 34)) or any corresponding provision for the time being in force in Northern Ireland, or

a planning obligation entered into under section 299A of the Town and Country Planning Act 1990 or any corresponding provision for the time being in force in Northern Ireland.

the carrying on of a cemetery, or

the carrying on of a crematorium and, in connection with doing so, the maintenance of memorial garden plots,

any building or structure (other than a dwelling-house) which is in the cemetery or memorial garden and is likely to have little or no value when the cemetery or memorial garden is full,

the purchase of an interest in, or the preparation of, any land taken up by such a building or structure, or

the purchase of an interest in, or the preparation of, any other land in the cemetery or memorial garden which is not suitable or adaptable for use for interments or memorial garden plots and which is likely to have little or no value when the cemetery or memorial garden is full.

for the purpose of interments, or

for memorial garden plots.

capital expenditure incurred by the trader, or a predecessor, on the purchase of an interest in the land or on the preparation of the land, and

ancillary capital expenditure allocated to the relevant period under section 148 (allocation of ancillary capital expenditure).

under both paragraphs (a) and (b) of subsection (2), or

under both subsection (2)(a) above and section 170(2)(b) of ITTOIA 2005 (relief for income tax purposes) or under both subsection (2)(b) above and section 170(2)(a) of ITTOIA 2005,

ancillary capital expenditure incurred on buildings or structures which were destroyed before the beginning of the first sale period,

the excluded amount of any remaining old expenditure (see subsection (3)),

if, after the beginning of the first sale period and before the end of the relevant period, an asset representing ancillary capital expenditure was sold or destroyed, the net sale proceeds or the compensation, and

any amount deducted under section 147(2)(b) above, or under section 170(2)(b) of ITTOIA 2005, for a period of account ending before the relevant period.

the Crown,

a government or local or other public authority (whether in the United Kingdom or elsewhere), or

any person other than the person incurring the expenditure.

made under Northern Ireland legislation, and

declared by the Treasury by an order under section 534 of CAA 2001 to correspond to a grant under Part 2 of the Industrial Development Act 1982 (c. 52).

insurance money, or

other compensation money,

it has been, or is to be, met (directly or indirectly) by a person other than the Crown or a government or local or other public authority, and

no deduction is allowed for the expenditure in calculating for corporation or income tax purposes the profits of a trade carried on by that person.

are treated for corporation tax purposes as receipts of a revenue nature, and

are brought into account in calculating the profits of the relevant period in which they are received.

sums received from the disposal of any interest or right in or over the original master version (including an interest or right created by the disposal), and

insurance, compensation or similar money derived from the original master version.

the trade consists of or includes the exploitation of original master versions of sound recordings, and

the original master versions do not constitute trading stock of the trade as defined by section 163.

is incurred on the production or acquisition of the original master version of a sound recording, and

is of a revenue nature (whether as a result of section 150 or otherwise),

the amount of the expenditure that remains unallocated at the beginning of the period,

the proportion that the estimated value of the original master version of the sound recording that is realised in that period (whether by way of income or otherwise) bears to the total value so realised and the estimated remaining value of the original master version at the end of the period, and

the need to bring the whole of the expenditure into account over the time during which the value of the original master version is expected to be realised.

“sound recording” does not include a film soundtrack,

“original master version” means the master tape or master audio disc of the recording,

references to the original master version of a sound recording include any rights in the original master version that are held or acquired with it, and

marketing an agricultural product, or

stabilising the price of an agricultural product.

they are required, by or under the scheme, to be paid to a Minister or department,

they are distributed to producers of the product in question, or

they are refunded to persons who pay any levy or duty.

the money is repayable to the Minister or department,

the fund is reviewed by a Minister at intervals fixed by or under the scheme or arrangement mentioned in section 153(2), and

if the fund appears to the Minister to exceed what is reasonably required by the body, the excess is withdrawn from the fund.

a Minister of the Crown,

the Scottish Ministers,

the Welsh Ministers, or

a Minister within the meaning of the Northern Ireland Act 1998 (c. 47).

a government department,

a part of the Scottish Administration,

a part of the Welsh Assembly Government, or

a Northern Ireland department.

which is sold in the ordinary course of the trade, or

which would be so sold if it were mature or its manufacture, preparation or construction were complete.

materials used in the manufacture, preparation or construction of any such thing,

any services performed in the ordinary course of the trade, or

any article produced, or any material used, in the performance of any such services.

the amount which the stock appropriated would have realised if sold in the open market at the time of the appropriation is brought into account as a receipt, and

the value of anything in fact received for it is left out of account.

belongs to a company carrying on a trade, but

is not trading stock of the trade,

the cost of the stock is taken to be the amount which it would have realised if sold in the open market at the time it became trading stock of the trade, and

the value of anything in fact given for it is left out of account.

trading stock of a trade is disposed of otherwise than in the course of the trade, and

section 157 does not apply.

the amount which the stock disposed of would have realised if sold in the open market at the time of the disposal is brought into account as a receipt, and

any consideration obtained for it is left out of account.

trading stock of a trade has been acquired otherwise than in the course of the trade, and

section 158 does not apply.

the cost of the stock is taken to be the amount which it would have realised if sold in the open market at the time of the acquisition, and

the value of anything in fact given for it is left out of account.

falls to be adjusted for tax purposes under Schedule 28AA to ICTA, or

falls within that Schedule without falling to be so adjusted.

the actual provision does not differ from the arm’s length provision, or

one of the exceptions mentioned in subsection (3) applies.

section 447(5) (exchange gains or losses from loan relationships)

section 694(8) (exchange gains or losses from derivative contracts),

paragraph 10 of Schedule 28AA to ICTA (transactions and deemed transactions involving oil), and

paragraph 13 of Schedule 28AA to ICTA (saving for provisions relating to capital allowances and capital gains).

in relation to section 159, the consideration for the disposal of the trading stock, and

in relation to section 160, the consideration for the acquisition of the trading stock.