Part 2Trading income

Chapter 4Trade profits: rules restricting deductions

F1Cash basis accounting

32AApplication of Chapter to the cash basis

(1)

The following sections do not apply in calculating the profits of a trade on the cash basis—

  • section 33 (capital expenditure),

  • section 35 (bad and doubtful debts),

  • sections 36 and 37 (unpaid remuneration),

  • section 43 (employee benefit contributions: profits calculated before end of 9 month period),

  • sections 48 to 50B (car hire).

(2)

For rules restricting deductions that apply only where profits are calculated on the cash basis, see F2...

  • section 33A (cash basis: capital expenditure).

  • F3...