Income Tax (Trading and Other Income) Act 2005 section 266

Meaning of "generating income from land"

Section 266 defines what "generating income from land" means for the purposes of the property income rules, covering rents, licence payments, and other receipts derived from exploiting land rights.

• Generating income from land means exploiting an estate, interest or right in or over land as a source of rents or other receipts
• Rents include voluntary tenant payments for maintenance or repairs not required by the lease
• Other receipts include licence fees to occupy land, payments for exercising rights over land, and rentcharges or other annual payments reserved in respect of land
• A right to use a caravan or houseboat at a single fixed location is treated as a right deriving from an interest in land