Part 3Property income
Chapter 10Post-cessation receipts
Meaning of “post-cessation receipts”
353Basic meaning of “post-cessation receipt”
(1)
In this Chapter “post-cessation receipt” means a sum—
(a)
which is received after a person permanently ceases to carry on a UK property business, and
(b)
which arises from the carrying on of the business before the cessation.
(2)
Subsection (3) applies if—
(a)
a firm carries on a UK property business,
(b)
a person ceases to be a partner in the firm, and
(c)
at least one of the persons with whom the partner carried on the business before ceasing to be a partner continues to carry it on afterwards.
(3)
The partner is treated for the purposes of this Chapter as permanently ceasing to carry on the business.