Section 104: Repayments under FISMA 2000
403.This section provides for the inclusion in a calculation of trading profits of certain receipts arising from FISMA. It is based on section 76A of ICTA. The corresponding rule for income tax is in section 155 of ITTOIA.
404.Subsection (2) provides for a repayment under FISMA to be treated as a trade receipt. Most FISMA repayments would be charged to tax under the basic trade profit calculation rules. The purpose of this provision is to deal with the exceptional case where the FISMA repayment would not otherwise be a trade receipt.
405.The receipts chargeable are determined by reference to FISMA. Subsections (3) and (4) provide the links with FISMA.
406.There is a similar rule about FISMA levies etc in section 92.