Corporation Tax Act 2009 section 748

Assets held for purposes of property business

Section 748 explains how intangible fixed asset credits and debits are brought into account when the asset is held for the purposes of a company's property business.

• Credits arising on intangible fixed assets held for a property business are treated as receipts of that business when calculating its taxable profits
• Debits arising on such assets are treated as expenses of that business when calculating its taxable profits
• A property business means either a UK property business or an overseas property business
• By folding the credits and debits directly into the property business profit calculation, they flow through to the correct tax treatment, including any applicable loss relief rules