Income Tax Act 2007 section 303

Meaning of "excluded activities"

Section 303 defines the business activities that are classified as "excluded activities" for the purposes of the Venture Capital Trust (VCT) scheme, meaning they cannot qualify as part of a qualifying trade.

• A wide range of financial, property and professional service activities are excluded, including dealing in land, commodities, shares or financial instruments, banking, insurance, money-lending, leasing, and providing legal or accountancy services.
• Primary industries and heavy manufacturing are excluded, covering farming, market gardening, forestry, timber production, shipbuilding, coal production and steel production.
• All forms of energy generation and fuel production are excluded, including electricity generation or export, heat generation, any other energy generation, and gas or fuel production.
• Certain managed property businesses are excluded — specifically operating or managing hotels, comparable establishments, nursing homes or residential care homes — along with property development and providing services or facilities for another business.