BIM86048 | TMIA – Other Considerations: Adjustment Income

Receipts from change of basis of computing taxable profits do not qualify for the trading allowance as they are not chargeable under Chapter 2 Part 2 ITTOIA 2005. Therefore, the trading allowance cannot be used to reduce an individual’s charge to tax on adjustment income.

More information on adjustment income can be found from BIM34090 to BIM34135 inclusive.