Part 2

Trading income
Chapter 11A

Trade profits: changes in trading stock

Introduction

Meaning of “trading stock”
172A
1
In this Chapter “
trading stock
”, in relation to a trade, means anything (whether land or other property)—
a
which is sold in the ordinary course of trade, or
b
which would be so sold if it were mature or its manufacture, preparation or construction were complete.
2
It does not include—
a
materials used in the manufacture, preparation or construction of any such thing,
b
any services performed in the ordinary course of the trade, or
c
any article produced, or any material used, in the performance of any such services.
Pt. 2 Ch. 11A inserted (with effect in accordance with s. 37(2) of the amending Act) by Finance Act 2008 (c. 9), Sch. 15 para. 2