Section 131 — Finance Act 2014: Ordinary profits

Ordinary profits 131 Take the following steps to calculate the amount of a bookmaker's ordinary profits in respect of a class of bets for an accounting period. Step 1 Calculate the aggregate of the stake money falling due to the bookmaker in the accounting period in respect of bets of that class made with the bookmaker. Step 2 Calculate the aggregate of the amounts paid by the bookmaker in that period by way of winnings to persons who made bets of that class with the bookmaker (irrespective of when the bets were made or determined). Step 3 Subtract the amount calculated under Step 2 from the amount calculated under Step 1.