BIM41050 - Specific receipts: reverse premiums: contents

A reverse premium is a payment or other benefit received as an inducement to take on a lease or other interest in land. A reverse premium is treated for Income Tax and Corporation Tax purposes as a receipt of a revenue nature. If the transaction is entered into for the purposes of a trade, the reverse premium is a trade receipt. Otherwise, it is a receipt of a property business. The guidance on reverse premiums is arranged as follows.

  1. BIM41051
    Meaning of ‘reverse premium’ and terms used in connection with reverse premiums
  2. BIM41052
    The commercial background
  3. BIM41055
    The legislation
  4. BIM41060
    Tax treatment of the payer
  5. BIM41075
    Meaning of ‘payment or other benefit’
  6. BIM41085
    Fitting out costs
  7. BIM41090
    Contributions to fitting out costs on assets qualifying for capital allowances
  8. BIM41105
    Conveyance of a freehold
  9. BIM41110
    Assignment of a lease
  10. BIM41125
    Timing of the receipt: the normal case
  11. BIM41130
    Timing of the receipt: the avoidance case: how to recognise it
  12. BIM41135
    Timing of the receipt: timing in the avoidance case
  13. BIM41140
    Specific exclusions