Part IV Income Tax, Corporation Tax and Capital Gains Tax
Chapter IV Changes for Facilitating Self-Assessment
Miscellaneous and supplemental
F1215 Treatment of partnerships.
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216 Effect of change in ownership of trade, profession or vocation.
F2(1)
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(2)
Subsections (3) to (5) of that section and, in subsection (6) of that section, the words from “and where” to the end shall cease to have effect.
(3)
The following provisions of that Act shall cease to have effect, namely—
(a)
in section 96 (farming and market gardening: relief for fluctuating profits), in subsection (6) the words from “except that” to the end;
(b)
in section 380 (set-off against general income), subsection (3);
(c)
in section 381 (further relief in early years of trade), subsection (6);
(d)
in section 384 (restrictions on right of set-off), subsection (5);
(e)
in section 385 (carry-forward against subsequent profits), subsections (2) and (5);
(f)
in section 386 (carry-forward where business transferred to a company), subsection (4); and
(g)
in section 389 (supplementary provisions relating to carry-back of terminal losses), subsection (3).
F3(4)
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(5)
Subsection (3)(a) above—
(a)
except in its application to a trade set up and commenced on or after 6th April 1994, has effect where the first of the two years of assessment to which the claim relates is the year 1996-97 or any subsequent year, and
(b)
in its application to a trade so set up and commenced, has effect where the first of those two years of assessment is the year 1995-96 or any subsequent year.
F4217 Double taxation relief in respect of overlap profits.
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218 Commencement, transitional provisions and savings.
(1)
Unless the contrary intention appears, this Chapter—
(a)
except in its application to a trade set up and commenced on or after 6th April 1994 or income from a source arising to a person on or after that date, has effect as respects the year 1996-97 and subsequent years of assessment, and
(b)
in its application to a trade so set up and commenced or income from a source so arising, has effect as respects the year 1994-95 and subsequent years of assessment.
F5(1A)
In a case where—
(a)
a trade is set up and commenced by a company, and
(b)
it is not set up and commenced before 6th April 1994,
sections 213(4) and (8) and 214(4) and (6) have effect only if it is set up and commenced on or after 6th April 1995.
(2)
Any reference in subsection (1) above to a trade includes a reference to a profession, vocation, employment or office.
(3)
Where the first underwriting year of the underwriting business of a member of Lloyd’s is the year 1994, subsection (1) above shall have effect in relation to that business as if it had been set up and commenced on 6th April 1994.
(4)
Where, as respects income from any source, income tax is to be charged under Case IV or V of Schedule D by reference to the amounts of income received in the United Kingdom, the source shall be treated for the purposes of subsection (1) above as arising on the date on which the first amount of income is so received.
(5)
This Chapter shall have effect subject to the transitional provisions and savings contained in Schedule 20 to this Act.