(1)The profits of a property business are calculated in the same way as the profits of a trade.

(2)But the provisions of Part 3 (trading income) which apply as a result of subsection (1) are limited to the following—

*In Chapter 3 (basic rules)—*
section 46	generally accepted accounting practice
section 47	losses calculated on same basis as profits
section 48	receipts and expenses
[F1section 49A	money's worth]
section 52	apportionment etc of profits and losses to accounting period
*In Chapter 4 (rules restricting deductions)—*
section 53	capital expenditure
section 54	expenses not wholly and exclusively for trade and unconnected losses
section 55	bad debts
sections 56 to [F258B]	car F3... hire
section 59	patent royalties
*In Chapter 5 (rules allowing deductions)—*
section 61	pre-trading expenses
F4. . .	F4. . .
section 69	payments for restrictive undertakings
sections 70 and 71	seconded employees
section 72	payroll deduction schemes: contributions to agents' expenses
sections 73 to 75	counselling and retraining expenses
sections 76 to 81	redundancy payments etc
sections 82 to 86	contributions to local enterprise organisations or urban regeneration companies
[F5sections 86A and 86B	contributions to flood and coastal erosion risk management projects]
sections 87 and 88	scientific research
sections 89 and 90	expenses connected with patents, designs and trade marks
section 91	payments to Export Credits Guarantee Department
section 92	levies under FISMA 2000
[F6section 92A	deductions in relation to salaried members of limited liability partnerships]
*In Chapter 6 (receipts)—*
section 93	capital receipts
section 94	debts incurred and later released
section 101	distribution of assets of mutual concerns
section 102	industrial development grants
section 103	sums recovered under insurance policies etc
section 104	repayments under FISMA 2000
*In Chapter 7 (gifts to charities etc)—*
section 108	receipt of benefits by donor or connected person
*In Chapter 9 (other specific trades)—*
section 131	incidental costs of issuing qualifying shares (building societies)
section 133	annual payments paid by a credit union
*In Chapter 12 (deductions from profits)—*
sections 172 to 175	unremittable amounts

Part 4U.K.Property income

Chapter 3U.K.Profits of property businesses: basic rules

Calculation of profitsU.K.

210Profits of a property business: application of trading income rulesU.K.