Section 642 — Corporation Tax Act 2010: Disregard of rent from members and of interest payable

Disregard of rent from members and of interest payable 642 1 Subsections (2) and (3) apply if a housing association makes a claim under this section for an accounting period or part of an accounting period during which the association was approved for the purposes of this Chapter.

2 Rent to which the association was entitled from its members for the accounting period or part of an accounting period is ignored for tax purposes.

3 The association is treated for corporation tax purposes as if any interest payable by it for the accounting period or part of an accounting period were not payable.

4 But subsection (3) does not apply so far as the interest is attributable to property that is not subject to a tenancy.