Part 2Trading income

Chapter 2Income taxed as trade profits

Starting and ceasing to trade

18Effect of company starting or ceasing to be within charge to income tax

1

This section applies if a company starts or ceases to be within the charge to income tax under this Chapter in respect of a trade.

2

The company is treated for the purposes of this Part—

a

as starting to carry on the trade when it starts to be within the charge, or

b

as permanently ceasing to carry on the trade when it ceases to be within the charge.