Paragraph 4

In Chapter 2 of Part 2 (trading income: income taxed as trade profits), after section 22 insert—

“Trading allowance

Trading allowance

22A

(1)

The rules for calculating the profits of a trade, profession or vocation carried on by an individual are subject to Chapter 1 of Part 6A (trading allowance).

(2)

That Chapter gives relief on relevant income and, where relief is given, disallows most deductions under this Part (see, in particular, sections 783AC, 783AF and 783AI).”