Commentary on Sections Overview Overview Section 279: Extent of charge to tax
998.This section sets out the two exceptions under which the rent received in respect of a UK electric-line wayleave is not taxed under this Chapter. It is based on section 120 of ICTA. The corresponding rule for income tax is in section 346 of ITTOIA.
999.Subsections (1) and (2) deal with the case in which the company receives other rent in respect of the land except rent from another wayleave. The rent from the wayleave is taxed as property income.
1000.Subsections (3) and (4) deal with the case in which the company carries on a trade on the land. See Change 6 in Annex 1 and the commentary on section 45. The rent may be taxed as a trade receipt.