Income tax is charged on rent receivable in connection with a UK section 12(4) concern.
(1)For the purposes of this Chapter rent is receivable in connection with a UK section 12(4) concern if—
(a)it is receivable in respect of an estate, interest or right in or over land in the United Kingdom, and
(b)the estate, interest or right is used, occupied or enjoyed in connection with a concern listed in section 12(4).
(2)For the purposes of this Chapter rent is also receivable in connection with a UK section 12(4) concern if—
(a)it is receivable in respect of an estate, interest or right in or over land in the United Kingdom,
(b)the lease or other agreement under which it is receivable provides for its recoupment by reducing royalties or payments of a similar nature, and
(c)the reduction applies if the estate, interest or right is used, occupied or enjoyed in connection with a concern listed in section 12(4).
(3)In this Chapter “rent” includes—
(a)a receipt mentioned in section 266(3), and
(b)any other receipt in the nature of rent.
(1)Tax is charged under this Chapter on the full amount of the profits arising in the tax year.
(2)This is subject to—
Textual Amendments
F1S. 337 entry omitted (with effect in accordance with Sch. 39 para. 43(3) of the amending Act) by virtue of Finance Act 2012 (c. 14), Sch. 39 para. 43(2)(a)(i)
The person liable for any tax charged under this Chapter is the person receiving or entitled to the rent.