Commentary on Sections Glossary Structure of Part 2 Section 12: Expenditure incurred before qualifying activity carried on
120.This section is based on section 83(2) of CAA 1990. It provides for expenditure incurred before the qualifying activity is carried on to be treated as incurred when the activity is started. Without this the expenditure could not be qualifying expenditure. It complements the trading income rule in section 401 of ICTA.