Commentary

19.5 Commencement, discontinuance and change of partners

BUSINESSES vol 4(2) start-up, sale and purchase
| Commentary

19.5 Commencement, discontinuance and change of partners

| Commentary

19.5 Commencement, discontinuance and change of partners

As mentioned above1, for ascertaining the correct basis period for taxing a partner’s allocation of the profits or losses of the partnership business, those profits or losses are treated as arising from a notional trade carried on by him alone2. He is treated as starting this notional trade when the partnership trade commences, or when he joins the partnership, whichever is the later3, and as permanently ceasing to carry it on when he ceases to be a partner, or when the partnership permanently ceases to carry on the partnership business, whichever is the

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to LexisLibrary or register for a free trial