BIM24995 | Meaning of trade: mutual trading and members clubs: tax cases referred to in guidance

Alphabetical order by names of the party

The table below identifies the:

principle established
names of the parties
BIM page, and
Tax case reference

for each of the cases referred to in the guidance material on the mutual trading and related issues.

Principle established	Names of the parties	Page	Tax case reference
Crucial factor is nature of transactions	Ayrshire Employers Mutual Insurance Association Ltd v CIR	,	27 TC 331
No need for profit seeking motive	Brighton College v Marriott		10 TC 213
Deduction for costs saved by members’ services	British Legion, Peterhead Branch, Remembrance and Welcome Home Fund v CIR	, , ,	35 TC 509
Distribution by Mutual concern in winding up	Brogan v Stafford Coal & Iron Co Ltd	,	41 TC 305
Apportionment of expenses	Carlisle & Silloth Golf Club v Smith	, , , , ,	6 TC 48 & 198
‘Not for profit’ does not preclude trading	CIR v Hyndland Investment Co Ltd		14 TC 694
Whether trading	CIR v Livingston & Others		11 TC 538
Difference between proprietary and members’ club	CIR v Stonehaven Recreation Ground Trustees		15 TC 419
Is mutual insurance a trade?	CIR v The Cornish Mutual Assurance Co Ltd	, ,	12 TC 841
Difference between proprietary and members’ club	CIR v The Eccentric Club Ltd		12 TC 669
-	Dublin Corporation v M’Adam		2 TC 387
Bulk buying group trading as principle	English & Scottish Joint Co-operative Wholesale Societies Ltd v The Commissioners of Agricultural Income Tax, Assam	,	1948 AC 405
Whether trading	Erichsen v Last		4 TC 422
Contributors may come and go	Faulconbridge v National Employers’ Mutual General Insurance Association Ltd	,	33 TC 103
Control of a members’ club	Fletcher v ITC		1972 AC 414
Payments to trade protection associations	Grahamston Iron Co v Crawford		7 TC 25
Municipal water supply	Harris v Corporation of the Burgh of Irvine		4 TC 221
Destination of profits has no bearing on assessibility	Hutchinson & Co (Publishers) Ltd v Turner		31 TC 495
Surplus must go back to contributors and no one else	Jones v The South West Lancashire Coal Owners’ Association	, ,	11 TC 790
The practicalities of and	Korner v CIR		45 TC 287
-	Last v The London Assurance Corporation		2 TC 100
Effect of shareholding	Liverpool Corn Trade Association Ltd v Monks	,	10 TC 442
Payments to trade protection associations	Lochgelly Iron and Coal Co Ltd v Crawford		6 TC 267
The practicalities of and	McLaren v Mumford		69 TC 173
What is mutual trading	Municipal Mutual Insurance Ltd v Hills	, , ,	16 TC 430
Co-operative dividends	Pope v Beaumont		24 TC 78
Whether trading	Ransom v Higgs		50 TC 1
Members must control the common fund	Revesby Credit Union v The Commissioner of Taxation for the Commonwealth of Australia		112 CLR 564
Trading is not a question of motive	Royal Agricultural Society of England v Wilson		9 TC 62
The categories of income are exclusive	Salisbury House Estates Ltd v Fry		15 TC 266
Can a taxpayer trade with themselves	Sharkey v Wernher		36 TC 275
Co-operative dividend satisfied by shares	Staffordshire Egg Producers Ltd v Spencer		41 TC 131
-	Styles v New York Life Insurance Company	, , , , , ,	2 TC 460
Members’ club only liable on profits from non-members	The National Association of Local Government Officers v Watkins		18 TC 499
Deductibility of trader’s payments to a mutual trader	Thomas v Richard Evans & Co Ltd		11 TC 790
Control of a members’ club	Westbourne Supporters of Glentoran v Brennan	,	SPC 22
The practicalities of and	Wildbore v Luker		33 TC 46