C1Part 3Trading income

Annotations:
Modifications etc. (not altering text)

Chapter 10Trade profits: changes in trading stock

Other disposals and acquisitions not made in the course of trade

160Acquisitions not made in the course of trade

1

This section applies if—

a

trading stock of a trade has been acquired otherwise than in the course of the trade, and

b

section 158 does not apply.

2

In calculating the profits of the trade—

a

the cost of the stock is taken to be the amount which it would have realised if sold in the open market at the time of the acquisition, and

b

the value of anything in fact given for it is left out of account.

3

The cost is treated as being incurred on the date of the acquisition.

4

This section is subject to section 161.