Land may be included as an asset of the business (in which case
IHTA84/S105 (1)(a) can apply) or be owned separately from the
business that occupies it (where IHTA84/S105 (1)(d) is in point).
Where the land is treated as part of the business interest then clearly if IHTA84/S105 (3) applies no part of the business interest will attract relief.
Where the land and business interest are shown separately then if IHTA84/S105 (3) applies neither the land nor the business interest attract relief.
In some cases you may need to examine closely how the land has been treated but do this only where evidence indicates that a different treatment of the land to that proposed by the parties is needed.
Additionally, if you are satisfied that no business existed, then the purported business interest will not be afforded the instalment option though land held separately may qualify for instalments.
If it is accepted that a business existed but IHTA84/S105 (3) applies, instalments will nonetheless be available and with the benefit of interest relief. (Although companies to which IHTA84/S105 (3) applies do not qualify for interest relief.)
Whilst the principles involved in invoking IHTA84/S105 (3) in respect of these businesses are broadly the same, the types of lettings have their own individual peculiarities and each will be discussed separately.
The interpretation and application of IHTA84/S105 (3) has now been tested before the Special Commissioners in the estates of Violet Moore ( IHTM25275) (commercial premises), Bertha Burkinyoung ( IHTM25276) (furnished lettings) and also Weston v IRC (2000) STC 1064 and Stedman v IRC  WTLR 1357 (caravan parks).