# Income Tax (Trading and Other Income) Act 2005, Section 597: Licences connected with patents


(1) The acquisition of a licence in respect of a patent is treated for the purposes of sections 587 to 596 as a purchase of patent rights.
(2) The grant of a licence in respect of a patent is treated for the purposes of sections 587 to 596 as a sale of part of patent rights.
(3) But the grant by a person entitled to patent rights of an exclusive licence is treated for the purposes of sections 587 to 596 as a sale of the whole of those rights.
(4) In subsection (3) “exclusive licence” means a licence to exercise the rights to the exclusion of the grantor and all other persons for the period remaining until the rights come to an end.

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Source: https://www.legislation.gov.uk/ukpga/2005/5/section/597 (the official version)
Page: https://openlegislation.uk/income-tax-trading-and-other-income-act-2005/section-597
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.