Part 4Property income
Chapter 5Profits of property businesses: other rules about receipts and deductions
Adjustment on change of basis
261Adjustment on change of basis
1
Section 262 applies if—
a
a company carrying on a UK property business changes, from one period of account to the next, the basis on which profits of the business are calculated for corporation tax purposes,
b
the old basis accorded with the law or practice applicable in relation to the period of account before the change, and
c
the new basis accords with the law and practice applicable in relation to the period of account after the change.
2
The practice applicable in any case means the accepted practice in cases of that description as to how profits of a UK property business should be calculated for corporation tax purposes.
3
Subsections (3) to (6) of section 180 (what is meant by a company changing the basis on which profits are calculated) apply for the purposes of this section as they apply for the purposes of that section (but as if any reference to a trade were to a UK property business).