Part 7U.K.Income charged under this Act: rent-a-room and [F1qualifying care] relief

Textual Amendments

F1Words in Pt. 7 heading substituted (16.12.2010) (with effect in accordance with Sch. 1 para. 36 of the amending Act) by Finance (No. 3) Act 2010 (c. 33), Sch. 1 para. 34 (with Sch. 1 para. 37)

Chapter 1U.K.Rent-a-room relief

Alternative calculation of profits if amount exceeds limitU.K.

796Alternative calculation of profits: trading incomeU.K.

(1)This section applies if the individual has any rent-a-room receipts for the tax year which are the receipts of a trade.

(2)The profits of the trade for the tax year are—

(a)the sum of the amount of the rent-a-room receipts for the tax year arising from the trade and the amount of any relevant balancing charge, less

(b)the deductible amount.

(3)The deductible amount—

(a)is L if all the individual's rent-a-room receipts for the tax year arise from the trade, and

(b)otherwise, is—

but, in either case, subject to a maximum of T.

(4)In subsection (3)—

(5)In calculating the amount of any rent-a-room receipts for the purposes of this section, no deduction is allowed for expenses or any other matter.