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Legal Terms -Farming
According to Section 876 of the Income Tax (Trading and Other Income) Act 2005, farming is defined as "the occupation of land wholly or mainly for the purpose of husbandry." Market gardening is specifically excluded from the definition of husbandry. In 1925, the Court of Session defined "husbandry" as a commerce based on the use of "fruits of the land occupied" (Lean and Dickson v Ball, 10 TC 341, 345). In that scenario, intensive poultry rearing was considered husbandry. Farmers are subject to special tax provisions. Income taxes can be calculated by averaging profits. Farm land and farming machinery typically qualify for 100% inheritance tax deduction.
According to Section 876 of the Income Tax (Trading and Other Income) Act 2005, farming is defined as "the occupation of land wholly or mainly for the purpose of husbandry." Market gardening is specifically excluded from the definition of husbandry. In 1925, the Court of Session defined "husbandry" as a commerce based on the use of "fruits of the land occupied" (Lean and Dickson v Ball, 10 TC 341, 345). In that scenario, intensive poultry rearing was considered husbandry. Farmers are subject to special tax provisions. Income taxes can be calculated by averaging profits. Farm land and farming machinery typically qualify for 100% inheritance tax deduction.
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