Part 10Special rules about charitable trusts etc
Restrictions on exemptions
540The non-exempt amount
1
A charitable trust has a non-exempt amount for a tax year if it has—
a
non-charitable expenditure for the tax year (amount A), and
b
attributable income and gains for the tax year (amount B).
2
The non-exempt amount for the tax year is—
a
amount A, or
b
if less, amount B.
3
For the purposes of this Part—
a
a charitable trust's “attributable income” for a tax year is the charitable trust's income for the tax year that is exempt from income tax as a result of any of the exemptions under this Part,
b
a charitable trust's “attributable gains” for a tax year are any gains accruing to the charitable trust in the tax year that as a result of F1section 256(1) of TCGA 1992, are not chargeable gains, and
c
a charitable trust's “attributable income and gains” for a tax year is the sum of its attributable income for the tax year and its attributable gains for the tax year.
4
In applying subsection (3)(a) ignore any restrictions on the exemptions under this Part which result from section 539(2).
5
In applying subsection (3)(b) ignore any restriction on the exemption under section 256(1) of TCGA 1992 which results from section 256(4) of that Act.