CB 11 Disposal within 10 years of improvement: building business
Income

(1)

An amount that a person derives from disposing of land is income of the person if—

(a)

they dispose of the land within 10 years of completing improvements to it; and

(b)

at the time they began the improvements, they carried on a business of erecting buildings, whether or not the land was acquired for the purpose of the business.

Income: associated person in business of erecting buildings

(2)

An amount that a person (person A) derives from disposing of land within 10 years of completing improvements on it is income of person A if another person (person B) associated with person A at the time the improvements were begun carried on a business of erecting buildings, whether or not—

(a)

person A carried on a business of erecting buildings; or

(b)

the land was acquired for the purpose of person B’s business.

Exclusions

(3)

Subsection (2) is overridden by the exclusion for bodies controlled by a local authority in section CB 15C and subsections (1) and (2) are overridden by the exclusions for residential land in section CB 16 and for business premises in section CB 19.

Defined in this Act: amount, associated person, business, dispose, improvements, income, land, year

Compare: 2004 No 35 s CB 9

Section CB 11(3): amended (with effect on 1 September 2015), on 30 March 2017, by section 11 of the Taxation (Annual Rates for 2016–17, Closely Held Companies, and Remedial Matters) Act 2017 (2017 No 14).