Part 8 Patent allowances
Chapter 2 Qualifying expenditure
468 Qualifying trade expenditure
1
“Qualifying trade expenditure” means capital expenditure incurred by a person on the purchase of patent rights for the purposes of a trade within the charge to tax carried on by the person.
2
The same expenditure may not be taken into account as qualifying trade expenditure in relation to more than one trade.
3
Expenditure incurred for the purposes of a trade by a person about to carry on the trade is to be treated as if it had been incurred by him on the first day on which he carries on the trade.
4
But subsection (3) does not apply if the person has before that day sold all the rights on the purchase of which the expenditure was incurred.