Corporation Tax Act 2009 section 271

Meaning of "rent receivable in connection with a UK section 39(4) concern"

Section 271 defines when rent is treated as being receivable in connection with a UK concern of the type listed in section 39(4), such as mines, quarries, and similar extractive or natural resource operations.

• Rent is receivable in connection with a UK section 39(4) concern if it relates to an estate, interest, or right in or over UK land that is used, occupied, or enjoyed in connection with such a concern
• Rent also qualifies where the lease or agreement provides for the rent to be recouped by reducing royalties or similar payments, and that reduction applies because the land interest is connected with a section 39(4) concern
• The definition of "rent" is broad, covering not only conventional rent but also receipts of the kind described in section 207(3) and any other receipt in the nature of rent
• The provision applies only to land in the United Kingdom — if the concern is located outside the UK, different rules apply