BIM40800 - Receipts: Interest and dividends: Contents
This chapter deals with the treatment of the interest and dividend income of a person carrying on a trade, profession or vocation and explains the circumstances in which that income:
- may be taxed as a receipt of the trade etc under Case I or II of Schedule D (referred to as a “trade receipt” in these paragraphs), or
- although taxed under another head of charge may be regarded as a trade receipt solely for the purpose of giving relief for trading losses.
The chapter contains the following:
| BIM40801 | Introduction |
| BIM40805 | Whether trade receipt |
| BIM40810 | How chargeable |
Other related topics are dealt with as follows:
- Dividends from co-operative societies BIM24560.
- Bank interest etc received by a solicitor in the exercise of his profession BIM65800 onwards.
- Sale or transfer of interest rights IM4580+.
- Transactions in deposits or loans IM4590+.
- Case I treatment for companies’ creditor loan relationships CTM51820.
There are also special rules for interest and dividends, which form part of Lloyd's underwriting income, see the Lloyds Manual.
