Page 63 - F6 Slide - Taxation - Lecture Day 2

Set-off of assessed losses

Carrying of a trade

• Does not have to carry on trade for the entire year (any period

during the year is fine)

• BUT:

• It is necessary that income is produced in the operation of

trade.

• Carrying on of trade: more than just the intention

• Must also include active steps

Just the receipt of Interest and Dividends ≠ carrying on of trade

(Except if moneylender/sharedealer)

• 2 Requirements:

• Carrying on trade; and

• Income accrued from trade