BIM60005 | Measuring the profits (particular trades): land: trading transactions: outline

There is an overview of the subject at BIM60010.

The relevant principles to be applied are set out in BIM60020 - BIM60085.

Particular situations are considered at the following references:

• sale of land acquired by inheritance or gift (BIM60090),

• purchase and resale of superior interest by tenant (BIM60095 - BIM60130),

• sales of timeshare (BIM60135 - BIM60155).

Notes on related topics are to be found at the following references-

• computational etc points relating to established building, developing and land dealing trades (BIM51500 onwards),

• sale and lease back (BIM61300 onwards),

• transactions in land: capital gains treated as income (BIM60300 onwards),

• list of useful land dealing cases and the principles they demonstrate (BIM60160),

• summary of occasions on which a report to Business Profits regarding land trading transactions is required (BIM60165).

‘Land’ in the following paragraphs includes any buildings and other structures, land covered by water and any estate, and interest in land, in accordance with the definition used in the Interpretation Act 1978.