Where a trader, under an obligation entered into for trade purposes:
the difference between the rent paid and any rent received forms an admissible deduction in computing the profits (CIR v Falkirk Iron Co Ltd  17TC625 and Hyett v Lennard  23TC346).
Although the decisions in the two cases mentioned above related
to periods after the premises had ceased to be used for the
purposes of the trade, the same principles are regarded as applying
to periods before the premises commenced to be occupied for those
As regards the receipts of rents and payments from tenants see also BIM41000 onwards.