Part 10

Miscellaneous income
Chapter 4

Income from holding an office

Rule restricting deductions for bad debts
970
1
This section applies only to debts to which Part 5 (loan relationships) does not apply.
2
In calculating the income of an office held by a company, no deduction is allowed in respect of a debt owed to the company, except—
a
by way of impairment loss, or
b
so far as the debt is released wholly and exclusively for the purposes of the office as part of a statutory insolvency arrangement.
3
In this section “debt” includes an obligation or liability that falls to be discharged otherwise than by the payment of money.