Part 3Property income

Chapter 3Profits of property businesses: basic rules

Charge to tax on profits of a property business

268Charge to tax on profits of a property business

Income tax is charged on the profits of a property business.

269Territorial scope of charge to tax

1

Profits of a UK property business are chargeable to tax under this Chapter whether the business is carried on by a UK resident or a non-UK resident.

2

Profits of an overseas property business are chargeable to tax under this Chapter only if the business is carried on by a UK resident.

3

But, in the case of an overseas property business carried on by a UK resident to whom the remittance basis applies, the only profits of the business chargeable to tax under this Chapter are those in respect of land in the Republic of Ireland.

4

For a UK resident to whom the remittance basis applies, see also Chapter 11 (charge to tax on overseas property income other than income arising in Republic of Ireland).

270Income charged

1

Tax is charged under this Chapter on the full amount of the profits arising in the tax year.

2

Subsection (1) is subject to Part 8 (foreign income: special rules).

271Person liable

The person liable for any tax charged under this Chapter is the person receiving or entitled to the profits.