BIM24995 - Meaning of trade: mutual trading and members clubs: tax cases referred to in guidance
Alphabetical order by names of the party
The table below identifies the:
- principle established
- names of the parties
- BIM page, and
- Tax case reference
for each of the cases referred to in the guidance material on the mutual trading and related issues.
| Principle established | Names of the parties | Page | Tax case reference |
|---|---|---|---|
| Crucial factor is nature of transactions | Ayrshire Employers Mutual Insurance Association Ltd v CIR | BIM24027, BIM24105 | 27TC331 |
| No need for profit seeking motive | Brighton College v Marriott | BIM24045 | 10TC213 |
| Deduction for costs saved by members’ services | British Legion, Peterhead Branch, Remembrance and Welcome Home Fund v CIR | BIM24475, BIM24775, BIM24794,BIM24796 | 35TC509 |
| Distribution by Mutual concern in winding up | Brogan v Stafford Coal & Iron Co Ltd | BIM24550, BIM24600 | 41TC305 |
| Apportionment of expenses | Carlisle & Silloth Golf Club v Smith | BIM24210, BIM24360, BIM24460, BIM24465, BIM24470, | 6TC48 & 198 |
| ‘Not for profit’ does not preclude trading | CIR v Hyndland Investment Co Ltd | BIM24045 | 14TC |
| Whether trading | CIR v Livingston & Others | BIM24045 | 11TC538 |
| Difference between proprietary and members’ club | CIR v Stonehaven Recreation Ground Trustees | BIM24210 | 15TC419 |
| Is mutual insurance a trade? | CIR v The Cornish Mutual Assurance Co Ltd | BIM24040, BIM24100, BIM24155 | 12TC841 |
| Difference between proprietary and members’ club | CIR v The Eccentric Club Ltd | BIM24210 | 12TC669 |
| - | Dublin Corporation v M’Adam | BIM24030 | 2TC387 |
| Bulk buying group trading as principle | English & Scottish Joint Co-operative Wholesale Societies Ltd v The Commissioners of Agricultural Income Tax, Assam | BIM24786, BIM24788 | 1948 19AC405 |
| Whether trading | Erichsen v Last | BIM24045 | 4TC422 |
| Contributors may come and go | Faulconbridge v National Employers’ Mutual General Insurance Association Ltd | BIM24105, BIM24110 | 33TC103 |
| Control of a members’ club | Fletcher v ITC | BIM24235 | 1972AC414 |
| Payments to trade protection associations | Grahamston Iron Co v Crawford | BIM24805 | 7TC25 |
| Municipal water supply | Harris v Corporation of the Burgh of Irvine | BIM24155 | 4TC221 |
| Destination of profits has no bearing on assessibility | Hutchinson & Co (Publishers) Ltd v Turner | BIM24470 | 31TC495 |
| Surplus must go back to contributors and no one else | Jones v The South West Lancashire Coal Owners’ Association | BIM24110, BIM24115, BIM24410 | 11TC790 |
| The practicalities of S54 Corporation Tax Act 2009 and S34 Income Tax (Trading and Other Income) Act 2005 | Korner v CIR | BIM24460 | 45TC |
| - | Last v The London Assurance Corporation | BIM24035 | 2TC100 |
| Effect of shareholding | Liverpool Corn Trade Association Ltd v Monks | BIM24160, BIM24405 | 10TC442 |
| Payments to trade protection associations | Lochgelly Iron and Coal Co Ltd v Crawford | BIM24805 | 6TC267 |
| The practicalities of S54 Corporation Tax Act 2009 and S34 Income Tax (Trading and Other Income) Act 2005 | McLaren v Mumford | BIM24460 | 69TC |
| What is mutual trading | Municipal Mutual Insurance Ltd v Hills | BIM24015, BIM24025, BIM24105, BIM24665 | 16TC430 |
| Co-operative dividends | Pope v Beaumont | BIM24560 | 24TC78 |
| Whether trading | Ransom v Higgs | BIM24045 | 50TC1 |
| Members must control the common fund | Revesby Credit Union v The Commissioner of Taxation for the Commonwealth of Australia | BIM24120 | 112CLR564 |
| Trading is not a question of motive | Royal Agricultural Society of England v Wilson | BIM24045 | 9TC |
| The categories of income are exclusive | Salisbury House Estates Ltd v Fry | BIM24040 | 15TC266 |
| Can a taxpayer trade with themselves | Sharkey v Wernher | BIM24035 | 36TC275 |
| Co-operative dividend satisfied by shares | Staffordshire Egg Producers Ltd v Spencer | BIM24560 | 41TC131 |
| - | Styles v New York Life Insurance Company | BIM24035, BIM24040, BIM24100, BIM24155, BIM24160, BIM24210, BIM24788 | 2TC460 |
| Members’ club only liable on profits from non-members | The National Association of Local Government Officers v Watkins | BIM24210 | 18TC499 |
| Deductibility of trader’s payments to a mutual trader | Thomas v Richard Evans & Co Ltd | BIM24950 | 11TC790 |
| Control of a members’ club | Westbourne Supporters of Glentoran v Brennan | BIM24225, BIM24120 | SPC22 |
| The practicalities of S54 Corporation Tax Act 2009 and S34 Income Tax (Trading and Other Income) Act 2005 | Wildbore v Luker | BIM24460 | 33TC46 |