http://www.legislation.gov.uk/ukpga/2010/8/section/37Taxation (International and Other Provisions) Act 2010An Act to restate, with minor changes, certain enactments relating to tax; to make provision for purposes connected with the restatement of enactments by other tax law rewrite Acts; and for connected purposes.texttext/xmlenStatute Law Database2026-09-11Expert Participation2026-03-18 Part 2CHAPTER 2371Apply section 36(2) in accordance with subsections (2) to (5) if the tax against which the credit is to be allowed is income tax on trade income.2Treat the reference to income from any particular source as a reference to trade income arising out of a transaction, arrangement or asset.3C is the income arising out of the transaction, arrangement or asset in connection with which the credit arises.4In calculating an amount of income tax under section 36(2) deduct, from the income arising out of the transaction, arrangement or asset in connection with which the credit arises, deductions which would be allowed in a calculation of the taxpayer's liability in respect of that income.5Treat section 36(3) as referring—ato trade income instead of income, andbto a transaction, arrangement or asset instead of a source.6In subsection (4) “deductions” includes a just and reasonable apportionment of deductions that relate—apartly to the income arising out of the transaction, arrangement or asset in connection with which the credit arises, andbpartly to other matters.7In this section “trade income” means income chargeable to tax under—aChapter 2 or 18 of Part 2 of ITTOIA 2005 (trade profits and post-cessation receipts), orbChapter 3 or 10 of Part 3 of ITTOIA 2005 (profits of property businesses and post-cessation receipts).Pt. 2 modified by 1988 c. 1, Sch. 19ABA paras. 26-28 (as inserted (with effect in accordance with s. 381(1) of the amending Act) by Taxation (International and Other Provisions) Act 2010 (c. 8), s. 381(1), Sch. 8 para. 34(3) (with Sch. 9 paras. 1-9, 22))Pt. 2 applied by 2010 c. 4, s. 269DL(6) (as inserted (with effect in accordance with Sch. 3 Pt. 3 of the amending Act) by Finance (No. 2) Act 2015 (c. 33), Sch. 3 para. 1)