Introduction Overview Overview Section 429: The amount of the income
1291.This section sets out the rules for determining the amount of the company’s income for the purposes of section 425 on any day. It is based on paragraph 36 of Schedule 10 to FA 2006.
1292.The rules adopt concepts from Chapters 3 and 4 for this purpose. The basic amount is found in accordance with section 421 in Chapter 4 and is then adjusted in accordance with sections 404 to 406 in Chapter 3. The “appropriate percentage” of the adjusted amount is then taken.
1293.Subsection (5) ensures that, if on the same day there is also a qualifying change in the company’s interest in the business carried on by the partnership, the percentage share in relation to which the amount of income under section 417 is calculated is not also taken into account in calculating the income under section 425.