INCOME TAX ACT 1967 (ACT 53) PART III - ASCERTAINMENT OF CHARGEABLE INCOME Chapter 3- Gross income
Section 31. Special provisions applicable to gross income from occupation of premises for non-business purposes.
(1) Where by virtue of section 11 the relevant person has a source consisting of his occupation of premises, the gross income which by virtue of that section he is deemed to have from that source shall, for the relevant period, be deemed to be an amount equal to the rateable value or, in the absence of a rateable value, the economic rent of the premises for the relevant period:
Provided that-
(a) where the premises are occupied by the relevant person and another person or other persons, the gross income of the relevant person from that source for that period shall be deemed to be-
(i) in the case of premises occupied in undivided shares, a part of that amount proportionate to his share; and
(ii) in any other case, so much of that amount as is just and reasonable in the circumstances;
(b) where the premises are occupied by the relevant person for a part or parts, but not for the whole, of the relevant period, that amount shall be proportionately reduced;
(c) where in a case to which paragraph (a) applies, the relevant person occupies the premises for a part or parts, but not for the whole, of the relevant period, his gross income from that source for that period shall be reduced by whatever sum is just and reasonable in the circumstances;
(d) where the premises are unfurnished for the whole of the relevant period, this section shall not apply with respect to those premises or that period; and, where the premises are unfurnished for a part of the relevant period, the relevant person shall not be deemed to occupy the premises for that part; and
(e) subject to subsections (2) and (3), where an amount is included under paragraph 13(1)(c) in the relevant person's gross income from an employment and that amount is ascertained under subsection 32 (2) or (3) for the relevant period in respect of his use or enjoyment of the premises as living accommodation-
(i) he shall be deemed to have no gross income under this section from the source consisting of his occupation of those premises for the relevant period; or
(ii) if that living accommodation is provided for only a part of the relevant period, he shall be deemed to have no gross income from the source consisting of his occupation of those premises for that part of the relevant period.
(2) The references to the relevant period in paragraph (e) of the proviso to subsection (1) shall be taken as references to the same period, whether they relate to a source consisting of the occupation of premises or to a source consisting of an employment.
(3) Where paragraph (b) or (c) of the proviso to subsection (1) applies in relation to a part or parts of the relevant period, paragraph (e) of that proviso shall apply only in relation to that part or those parts, as the case may be.
(4) Where premises to which this section applies are occupied by the relevant person partly for the purposes of a business of his, the gross income which the relevant person would otherwise be deemed to have from the source consisting of that occupation shall be reduced by an amount which is just and reasonable having regard to the extent to which the occupation is for those purposes.
