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BIM84170 | Averaging: adjustments to reliefs

From HM Revenue & Customs · Business Income Manual

S224(1) Income Tax (Trading and Other Income) Act 2005

The revised profits obtained by averaging become the profits for all purposes of the Income Tax Acts. Thus, any reliefs or assessments depending upon total income (for example, loss relief, Class 4 NIC and age allowance) may need to be recalculated as a result of the averaging (see BIM84160).