Part 2 U.K. Trading income

Chapter 4 U.K. Trade profits: rules restricting deductions

[F1 Cash basis accounting U.K.

Textual Amendments

F1 S. 32A and cross-heading inserted (with effect in accordance with Sch. 4 paras. 56, 57 of the amending Act) by Finance Act 2013 (c. 29), Sch. 4 para. 7

32A Application of Chapter to the cash basis U.K.

(1) The following sections do not apply in calculating the profits of a trade on the cash basis—

• section 33 (capital expenditure),

• section 35 (bad and doubtful debts),

• sections 36 and 37 (unpaid remuneration),

• section 43 (employee benefit contributions: profits calculated before end of 9 month period),

• sections 48 to 50B (car hire).

(2) For rules restricting deductions that apply only where profits are calculated on the cash basis, see F2 ...

• section 33A (cash basis: capital expenditure).

• F3 ...]

Textual Amendments

F2 Words in s. 32A(2) omitted (6.4.2024 for the tax year 2024-25 and subsequent tax years) by virtue of Finance Act 2024 (c. 3), Sch. 10 paras. 17(a), 47 (with Sch. 10 paras. 48-50)

F3 Words in s. 32A(2) omitted (6.4.2024 for the tax year 2024-25 and subsequent tax years) by virtue of Finance Act 2024 (c. 3), Sch. 10 paras. 17(b), 47 (with Sch. 10 paras. 48-50)