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Home / Simons-Taxes /Business tax /Part B2 How are trade profits and losses calculated? /Division B2.5 Recognition of receipts and expenses in periods of account /Period in which receipt assessable or deduction allowable / B2.506 Delivery and passing of ownership of goods
Commentary

B2.506 Delivery and passing of ownership of goods

Business tax

The strict position is that before goods are treated as sold or purchased for tax purposes, the property in the goods should have passed from the seller to the purchaser (see B2.501). For this purpose it is not essential that the goods should have been physically delivered.

The time when the property in the goods has passed depends on the intention of the parties as evidenced by the terms of the contract

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