Part 2Trading income
C1C4C3 Chapter 15Basis periods
Pt. 2 Ch. 15 applied (with application in accordance with Sch. 1 para. 62 of the amending Act) by Finance Act 2022 (c. 3), Sch. 1 para. 63
Pt. 2 Ch. 15 applied (with application in accordance with Sch. 1 para. 64 of the amending Act) by Finance Act 2022 (c. 3), Sch. 1 para. 65
Apportionment of profits
203Apportionment etc. of profits to basis periods
1
This section applies if the basis period for a tax year does not coincide with a period of account.
2
Any of the following steps may be taken if they are necessary in order to arrive at the profits or losses of the basis period—
a
apportioning the profits or losses of a period of account to the parts of that period falling in different basis periods, and
b
adding the profits or losses of a period of account (or part of a period) to profits or losses of other periods of account (or parts).
C23
The steps must be taken by reference to the number of days in the periods concerned.
C24
But the person carrying on the trade may use a different way of measuring the length of the periods concerned if—
a
it is reasonable to do so, and
b
the way of measuring the length of periods is used consistently for the purposes of the trade.
Pt. 2 Ch. 15 excluded (14.2.2006 with effect as mentioned in reg. 1(2) of the amending S.I.) by S.I. 1997/2681 reg. 6(1)(a) as amended by The Lloyd's Underwriters (Scottish Limited Partnerships) (Tax) (Amendment) Regulations 2006 (S.I. 2006/111), reg. 8