Income Tax (Trading and Other Income) Act 2005 section 307

Interpretation

Section 307 defines key terms used throughout this chapter, including the meaning of "premium," "sum," and specific Scottish legal terms such as "grassum" and "reversion."

• A "premium" is broadly defined to include any similar payment made to the immediate landlord, a superior landlord, or any person connected with either of them.
• A "sum" includes not only monetary amounts but also the value of any other form of consideration.
• In Scotland, a "premium" specifically includes a grassum (a lump-sum payment to a landlord), and "reversion" means the landlord's continuing interest in the leased property.
• In Scotland, references to a lease being "granted out of a taxed lease" mean the creation of a sublease on land already subject to a taxed lease, and any reference to the lease so granted should be read as a reference to that sublease.