Corporation Tax Act 2009 section 39

Profits of mines, quarries and other concerns

Section 39 ensures that profits and losses from certain land-based concerns — such as mines, quarries, waterworks, canals, and fishing rights — are taxed as though they were trading profits, even where the activity does not technically constitute a trade.

• Profits and losses from specified land-based concerns (mines, quarries, ironworks, gasworks, canals, docks, fishing rights, railways, etc.) are calculated and taxed as if the concern were a trade
• Losses from these concerns qualify for trade loss relief, group relief, and group relief for carried-forward losses under the Corporation Tax Act 2010
• The section does not deem the concern to actually be a trade — so benefits such as roll-over relief on chargeable gains are not available through this provision alone
• The section does not apply where the land is held by an insurance company for its long-term business, or where the commercial occupation of land rules under section 38 already apply