# Income Tax Act 2007, Section 809VE: Commercial trades

Extent: E+W+S+N.I.

(1) Section 809VD is to be read in accordance with this section.
(2) A reference to a “trade” also includes—
(a) anything that is treated for corporation tax purposes as if it were a trade, and
(b) a business carried on for generating income from land (as defined in section 207 of CTA 2009).
(3) A trade is a “commercial trade” if it is conducted on a commercial basis and with a view to the realisation of profits.
(4) The carrying on of activities of research and development from which it is intended that a commercial trade will be derived, or will benefit, is to be treated as the carrying on of a commercial trade.
(5) But preparing to carry on activities within subsection (4) is not to be treated as the carrying on of a commercial trade.
(6) A company which is a partner in a partnership is not to be regarded as carrying on a trade carried on by the partnership.

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Source: https://www.legislation.gov.uk/ukpga/2007/3/section/809VE (the official version)
Page: https://openlegislation.uk/income-tax-act-2007/section-809VE
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.