Part 5Miscellaneous income
Chapter 2Receipts from intellectual property
Supplementary
606Apportionment where property sold together
1
Any reference in this Chapter to the sale of property includes the sale of that property together with other property.
2
In this section—
references to property include know-how, and
references to the sale of property include the disposal of know-how.
3
For the purposes of subsection (1), all property sold as a result of one bargain is to be treated as sold together even though—
a
separate prices are, or purport to be, agreed for separate items of that property, or
b
there are, or purport to be, separate sales of separate items of that property.
4
If an item of property is sold together with other property, then, for the purposes of the charges under sections 583 and 587—
a
the net proceeds of the sale of that item are treated as being so much of the net proceeds of the sale of all the property as, on a just and reasonable apportionment, is attributable to that item, and
b
the expenditure incurred on the provision or purchase of that item is treated as being so much of the consideration given for all the property as, on a just and reasonable apportionment, is attributable to that item.