BIM62601 - Nurseries and market gardens: definition

Market gardening is defined in ICTA88/S832 (1) as the occupation of land in the United Kingdom as a nursery or garden for the sale of the produce (other than land used for the growth of hops).

Market gardening is specifically excluded from the statutory definition of `farming' ,see BIM55051. ICTA88/S53 (1) provides that all market gardening shall be treated as the carrying on of a trade within Case I of Schedule D. (It should be noted however that Section 53(2) - which provides that all farming carried on by a particular person should be treated as a single trade - does not extend to market gardening).

Specialist Christmas tree farms are nurseries within the statutory definition of market gardening (see Jaggers v Ellis [1997] 71TC164) but where Christmas trees are a crop on an ordinary farm the income may be included in the farm profits (see BIM55210).

Averaging relief for fluctuating profits (see BIM73000 onwards) is available to market gardeners.