Part 8 Patent allowances

Chapter 4 Giving effect to allowances and charges

478 Persons having qualifying trade expenditure

An allowance or charge to which a person is entitled or liable under this Part for a chargeable period in respect of qualifying trade expenditure is to be given effect in calculating the profits of the trade, by treating—

(a)

the allowance as an expense of the trade, and

(b)

the charge as a receipt of the trade.