Commentary on Sections Overview Overview Section 1300: Business gifts: exceptions
3323.This section provides exceptions to the prohibition in section 1298 relating to business gifts in certain circumstances. It is based on section 577 of ICTA. The corresponding rules for income tax are in section 47 of ITTOIA.
3324.Subsection (3) allows the Treasury to increase the monetary limit in paragraph (b). See Change 94 in Annex 1.
3325.Subsection (5) makes an exception for gifts to charities and named bodies. Section 577(9) of ICTA limits this exception to the computation of profits under Schedule D Cases I and II, that is, to income calculated under rules rewritten in Part 3 of this Act. It was not intended that the exception should be applied narrowly to the disadvantage of a business other than a trade or property business. This section extends the exception to such businesses. See Change 93 in Annex 1.