Part 4Property income

Chapter 10Supplementary

Priority rules

287Provisions which must be given priority over this Part

Any receipt or other credit item, so far as it falls within—

a

Chapter 3 of this Part so far as it relates to an overseas property business or Chapter 7 or 8 of this Part (rent receivable in connection with a UK section 39(4) concern or for UK electric-line wayleaves), and

b

Chapter 2 of Part 3 (receipts of a trade),

is dealt with under Part 3.

288Priority between Chapters within this Part

1

Any receipt, so far as it falls within—

a

Chapter 3 so far as it relates to a UK property business, and

b

Chapter 7 (rent receivable in connection with a UK section 39(4) concern),

is dealt with under Chapter 7.

2

Any receipt, so far as it falls within—

a

Chapter 3 so far as it relates to a UK property business, and

b

Chapter 8 (rent receivable for UK electric-line wayleaves),

is dealt with under Chapter 8.

3

Any receipt, so far as it falls within Chapter 7 (rent receivable in connection with a UK section 39(4) concern) and Chapter 8 (rent receivable for UK electric-line wayleaves), is dealt with under Chapter 8.

Other supplementary provisions

289Effect of company starting or ceasing to be within charge to corporation tax

1

This section applies if a company starts or ceases to be within the charge to corporation tax in respect of a property business.

2

The company is treated for the purposes of this Part—

a

as starting to carry on the business when it starts to be within the charge, or

b

as ceasing to carry on the business when it ceases to be within the charge.

290Overseas property businesses and overseas land: adaptation of rules

1

This section applies if a provision of this Part—

a

applies to an overseas property business or land outside the United Kingdom, but

b

is expressed by reference to a domestic concept of law.

2

In relation to that business or land, the provision is to be read so as to produce the result most closely corresponding with that produced by the provision in relation to a UK property business or land in the United Kingdom.

291Meaning of “lease” and “premises”

1

In this Part “lease” includes—

a

an agreement for a lease (so far as the context permits), and

b

any tenancy,

but does not include a mortgage.

2

In this Part “premises” includes land.