F1PART 6AIncome charged under this Act: trading and property allowances
CHAPTER 2Property allowance
Basic definitions
783BA“Relevant property business” of an individual
(1)
Subject to subsection (3), for the purposes of this Chapter an individual's property business is a “relevant property business” for a tax year if the business is not a rent-a-room property business in relation to the individual for the tax year.
(2)
For the purposes of subsection (1) a property business is a “rent-a-room property business” in relation to an individual for a tax year if—
(a)
the individual qualifies for rent-a-room relief for the tax year, and
(b)
all the receipts which would, apart from Chapter 1 of Part 7 (rent-a-room relief), be brought into account in calculating the profits of the business, are rent-a-room receipts.
See section 783BQ for definitions relevant to this subsection.
(3)
If an individual receives—
(a)
property income distributions which are treated as profits of a UK property business by virtue of regulation 69Z18(1) or (2) of the AIF Regulations (property AIF distributions: liability to tax), or
(b)
distributions which are treated as profits of a UK property business by virtue of section 548(6) of CTA 2010 (REIT distributions: liability to tax),
that separate property business (see regulation 69Z18(6) of the AIF Regulations and section 549(5) of CTA 2010) is not a relevant property business of the individual.
(4)
In subsection (3) “the AIF Regulations” means the Authorised Investment Funds (Tax) Regulations 2006 (S.I. 2006/964).