Can a farm trading loss be off set against farm rental income?
Hello, I have a client who is a farmer (sole trader). They have a Farm Business Tenancy (FBT) to let a part of the farm to another farmer and are still farming the remaining smaller part of the farm themselves on a commercial basis. The income from the FBT will be included on their self-assessment tax return as rental income, that is my understanding. The farming trade has made a profit within the last 5 years and is run on a commercial basis. The HMRC manual states that losses can be offset against other income, would the farm rental income fall under other income? (Sorry stupid question but I am doubting myself).