[F1Expenditure on software or consumable itemsU.K.
Textual Amendments
F1Sch. 20 para. 6 and cross-heading substituted (1.4.2005) (with effect in accordance with s. 141(3)-(7) of the amending Act) by Finance Act 2004 (c. 12), s. 141(1); S.I. 2005/123, art. 2
6(1)For the purposes of this Schedule expenditure on software or consumable items means expenditure on—U.K.
(a)computer software, or
(b)consumable or transformable materials,
and references to software or consumable items shall be construed accordingly.
(2)For the purposes of this Schedule consumable or transformable materials include water, fuel and power.
(3)Expenditure on software or consumable items is attributable to relevant research and development if the software or consumable items are employed directly in such research and development.
(4)In the case of software or consumable items partly employed directly in relevant research and development, an appropriate portion of the expenditure on the software or consumable items is treated as attributable to relevant research and development.
(5)For the purposes of sub-paragraphs (3) and (4), software or consumable items employed in the provision of services, such as secretarial or administrative services, in support of other activities are not, by virtue of their employment in the provision of those services, to be treated as themselves directly employed in those other activities.]
Modifications etc. (not altering text)
C1Sch. 20 para. 6 applied (24.7.2002 with effect as mentioned in s. 53(1) of the amending Act) by 2002 c. 23, s. 53, Sch. 12 para. 17(c)
C2Sch. 20 para. 6 applied (with modifications) (22.4.2003) by Finance Act 2002 (c. 23), Sch. 13 para. 5(3)(c); S.I. 2003/1472, art. 2