[F1[F2809VECommercial tradesU.K.
(1)Section 809VD is to be read in accordance with this section.
(2)A reference to a “trade” also includes—
(a)anything that is treated for corporation tax purposes as if it were a trade, and
(b)a business carried on for generating income from land (as defined in section 207 of CTA 2009).
(3)A trade is a “commercial trade” if it is conducted on a commercial basis and with a view to the realisation of profits.
(4)The carrying on of activities of research and development from which it is intended that a commercial trade will be derived, or will benefit, is to be treated as the carrying on of a commercial trade.
(5)But preparing to carry on activities within subsection (4) is not to be treated as the carrying on of a commercial trade.]
[F3(6)A company which is a partner in a partnership is not to be regarded as carrying on a trade carried on by the partnership.]]
Textual Amendments
F1Pt. 14 Ch. A1 inserted (21.7.2008 with effect in accordance with Sch. 7 para. 81 of the amending Act) by Finance Act 2008 (c. 9), Sch. 7 para. 1 (with Sch. 7 paras. 85-89)
F2Ss. 809VA-809VO and cross-heading inserted (17.7.2012) (with effect in accordance with Sch. 12 para. 17 of the amending Act) by Finance Act 2012 (c. 14), Sch. 12 para. 7
F3S. 809VE(6) inserted (with effect in accordance with s. 15(8) of the amending Act) by Finance (No. 2) Act 2017 (c. 32), s. 15(4)
Modifications etc. (not altering text)
C1Pt. 14 Ch. A1 modified by 2005 c. 5, s. 643F(4) (as inserted (with effect for the tax year 2018-19 and subsequent years) by Finance Act 2018 (c. 3), Sch. 10 paras. 11, 21(1) (with Sch. 11 para. 22))
C2Pt. 14 Ch. A1 modified by 2005 c. 5, s. 643N(3)(4) (as inserted (with effect for the tax year 2018-19 and subsequent years) by Finance Act 2018 (c. 3), Sch. 10 paras. 11, 21(1) (with Sch. 11 para. 22))
C3Ss. 809L-809Z6 applied by 2005 c. 5, s. 643I(9) (as inserted (with effect for the tax year 2018-19 and subsequent years) by Finance Act 2018 (c. 3), Sch. 10 paras. 11, 21(1) (with Sch. 11 para. 22))
C4Ss. 809L-809Z6 applied by 2005 c. 5, s. 643A(6) (as inserted (with effect for the tax year 2018-19 and subsequent years) by Finance Act 2018 (c. 3), Sch. 10 paras. 11, 21(1) (with Sch. 11 para. 22))