222Circumstances in which claim [F1for two-year averaging] may be madeU.K.
(1)An averaging claim may be made [F2under this section] in relation to two consecutive tax years in which a taxpayer is or has been carrying on the qualifying trade, profession or vocation if—
(a)the relevant profits of one of the tax years are less than 75% of the relevant profits of the other tax year, or
(b)the relevant profits of one (but not both) of the tax years are nil.
[F3(2)The earlier of the two years to which an averaging claim under this section relates may be a tax year in relation to which an averaging claim under this section or section 222A has already been made.]
(3)An averaging claim may not be made [F4under this section] in relation to a tax year if an averaging claim has already been made [F5under this section or section 222A] in relation to a later tax year in respect of the trade, profession or vocation.
(4)An averaging claim may not be made [F6under this section] in relation to the tax year in which—
(a)the taxpayer starts, or permanently ceases, to carry on the trade, profession or vocation, or
(b)in the case of a trade, profession or vocation within section 221(2)(c), it begins or ceases to be a qualifying trade, profession or vocation.
(5)An averaging claim [F7under this section] must be made on or before the first anniversary of the normal self-assessment filing date for the second of the tax years to which the claim relates.
(6)But see section 225(4) (extended time limit if profits adjusted for some other reason).
Textual Amendments
F1Words in s. 222 heading inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(a)
F2Words in s. 222(1) inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(b)
F3S. 222(2) substituted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(c)
F4Words in s. 222(3) inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(d)(i)
F5Words in s. 222(3) inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(d)(ii)
F6Words in s. 222(4) inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(e)
F7Words in s. 222(5) inserted (with effect in accordance with s. 25(12) of the amending Act) by Finance Act 2016 (c. 24), s. 25(4)(f)