Income Tax (Trading and Other Income) Act 2005

Introduction U.K.

846 Overview of Part 9 U.K.

This Part contains some special rules about partnerships.

847 General provisions U.K.

(1) In this Act persons carrying on a trade in partnership are referred to collectively as a “firm”.

(2) The provisions of this Part [F1 which are expressed to apply to trades also apply, unless otherwise indicated (whether expressly or by implication)] —

(a) to professions, and

(b) in the case of this section and sections 849, 850, 857 and 858 to businesses that are not trades or professions.

(3) In those sections as applied by subsection (2)(b)—

(a) references to a trade are references to a business, and

(b) references to the profits of a trade are references to the income arising from a business.

Textual Amendments

F1 Words in s. 847(2) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 638 (with Sch. 2 Pts. 1, 2)

848 Assessment of partnerships U.K.

Unless otherwise indicated (whether expressly or by implication), a firm is not to be regarded for income tax purposes as an entity separate and distinct from the partners.