Corporation Tax Act 2009 section 212

Items treated as receipts and expenses

Section 212 identifies additional rules that must be read alongside the normal rules for calculating the profits of a property business.

• Capital allowances under CAA 2001 are treated as expenses of a property business, reducing taxable profits
• Balancing charges under CAA 2001 are treated as receipts of a property business, increasing taxable profits
• Credits and debits relating to intangible fixed assets held for the purposes of a property business are treated as receipts and expenses of that business under section 748
• These provisions override the general rule that capital items are excluded from the calculation of trading or property business profits