528. Sales of patent rights: spreading rules.

Where the seller of patent rights1 is a UK resident2, if he does not receive3 the proceeds of sale in instalments, one-sixth of the amount chargeable to income tax is taxed in the tax year4 in which he receives the proceeds of the sale and in each of the next five tax years, unless he elects to be taxed on the whole of the amount chargeable5 in that tax year6. If he receives the proceeds of sale in instalments, one-sixth of the amount chargeable in respect of each instalment is taxed in the tax year in which the instalment