BIM60055 - Measuring the profits (particular trades): land: trading transactions: land cannot have a dual or indeterminate status

Land cannot have an indeterminate status when it is acquired; Lionel Simmons Properties Ltd v CIR [1980] 53TC461 established that on acquisition it is either stock in trade or it is a capital asset. It cannot be both (see Lord Wilberforce’s comments at pages 491-492).