CC 1C Consideration for agreement to surrender leasehold estate or terminate licence
When this section applies

(1)

This section applies when—

(a)

a person (the payee) is the owner of—

(i)

an estate in land from which is granted a right (the land right) that is a leasehold estate not including a perpetual right of renewal, or is a licence to use land:

(ii)

the land right; and

(b)

derives an amount as consideration for the agreement by the payee to the surrender or termination of the land right.

Income

(2)

The amount is income of the payee.

Exception for tenant or licensee of residential premises

(3)

The amount is not income if the payee is a natural person and derives the amount as a tenant or licensee of residential premises whose expenditure on the residential premises does not meet the requirements of the general permission.

Defined in this Act: amount, general permission, income, land, leasehold estate, own

Section CC 1C: inserted (with effect on 1 April 2013 and applying to an amount that is derived on or after that date), on 17 July 2013, by section 7(2) of the Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act 2013 (2013 No 52).

Section CC 1C(1): replaced (with effect on 1 April 2013 and applying to an amount derived on or after that date), on 30 June 2014, by section 11(1) of the Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Act 2014 (2014 No 39).