Part 3Property income

Chapter 2Property businesses

Generating income from land

266Meaning of “generating income from land”

1

In this Chapter “generating income from land” means exploiting an estate, interest or right in or over land as a source of rents or other receipts.

2

Rents” includes payments by a tenant for work to maintain or repair leased premises which the lease does not require the tenant to carry out.

3

Other receipts” includes—

a

payments in respect of a licence to occupy or otherwise use land,

b

payments in respect of the exercise of any other right over land, and

c

rentcharges and other annual payments reserved in respect of, or charged on or issuing out of, land.

4

For the purposes of this section a right to use a caravan or houseboat at only one location is treated as a right deriving from an estate or interest in land.