Capital Allowances Act 2001

480 Persons having qualifying non-trade expenditure: corporation taxU.K.

This section has no associated Explanatory Notes

(1)This section applies for corporation tax purposes if a company is entitled or liable under this Part to an allowance or charge for a chargeable period (“the current accounting period”) in respect of qualifying non-trade expenditure.

(2)An allowance is to be given effect by deducting it from the company’s income from patents for the current accounting period.

(3)If the amount to be deducted from the company’s income from patents for that period exceeds the amount of that income, the excess must (if the company remains within the charge to tax) be deducted from its income from patents for the next accounting period, and so on for subsequent accounting periods.

(4)A charge is to be given effect by treating the charge as income of the company from patents.