Section 38 — Corporation Tax Act 2009: Commercial occupation of land other than woodlands

Commercial occupation of land other than woodlands 38 1 The commercial occupation of land in the United Kingdom is treated for corporation tax purposes as the carrying on of a trade or part of a trade.

2 For this purpose the occupation of land is commercial if the land is managed—

a on a commercial basis, and b with a view to the realisation of profits.

3 This section does not apply—

a to farming or market gardening (which is dealt with by section 36),

b if the land is being prepared for forestry purposes, c if the land comprises woodlands (which is dealt with by section 37), or d to the occupation by an insurance company of land which is an asset held by the company for the purposes of its long-term business .