Income tax for farmers | Practical Law

Income tax for farmers | Practical Law

This note looks at the application of the UK income tax rules to farming. It summarises the rules for calculating farming income, including the one-trade rule, the herd basis and farmers' profit averaging. It also examines restrictions on trade loss relief under the five-year rule, known as the hobby farming restriction.

Income tax for farmers

Practical Law UK Practice Note 4-619-8823 (Approx. 20 pages)

Income tax for farmers

MaintainedEngland, Wales
This note looks at the application of the UK income tax rules to farming. It summarises the rules for calculating farming income, including the one-trade rule, the herd basis and farmers' profit averaging. It also examines restrictions on trade loss relief under the five-year rule, known as the hobby farming restriction.