Income Tax (Trading and Other Income) Act 2005 section 170

Deduction for capital expenditure

Section 170 allows traders who operate cemeteries or memorial gardens to claim a deduction for certain capital expenditure when they sell an interest in land for the purpose of interments or memorial garden plots.

• A deduction is available for capital expenditure on purchasing or preparing cemetery or memorial garden land when an interest in that land is sold for interments or memorial garden plots
• The deduction covers expenditure incurred by the current trader or a predecessor, including ancillary capital expenditure allocated to the relevant period
• The same expenditure cannot be claimed twice — it must not be deducted under more than one provision, whether for the same or different accounting periods
• No deduction is available for any purchase price paid on a sale connected with a change in the persons carrying on the trade, nor for expenditure met by subsidies