Corporation Tax Act 2009 section 1257

General provisions

Section 1257 defines the term "firm" for corporation tax purposes and explains how the partnership rules apply to both trading and non-trading businesses.

• A "firm" means persons carrying on a trade in partnership, including limited liability partnerships
• The partnership rules in sections 1259 to 1266 apply to trades and also to businesses that are not trades
• When those rules apply to non-trading businesses, references to a "trade" should be read as references to a "business"
• Similarly, references to "profits of a trade" should be read as references to "income arising from a business"