Refunds of contributions to independent research and development etcU.K.
15(1)This paragraph applies where a company receives a payment refunding the whole or any part of—
(a)any qualifying expenditure on sub-contracted research and development (see paragraph 5),
(b)any qualifying expenditure on contributions to independent research and development (see paragraph 6), F1...
(c)any expenditure which is qualifying sub-contracted R&D expenditure by virtue of paragraph 10, [F2or
(d)any expenditure which is qualifying additional SME expenditure,]
in respect of which it obtains relief under this Schedule.
(2)The appropriate amount shall be treated as income of the company chargeable to tax under Case I of Schedule D for the accounting period in which the payment is made.
(3)Where, by virtue of paragraph 13(3) (profits of life assurance business chargeable to tax under Case VI of Schedule D), the relief obtained in respect of the contribution or expenditure concerned is a deduction in computing for tax purposes the profits of a part of the life assurance business of the company—
(a)sub-paragraph (2) does not apply, and
(b)the appropriate amount shall be treated as income referrable to that part which is chargeable to tax under Case VI of Schedule D for the accounting period in which the payment is made.
(4)For this purpose “the appropriate amount” means 25% of the payment.
Textual Amendments
F1Word in Sch. 12 para. 15(1) repealed (with effect in accordance with s. 168(3)(b) of the amending Act) by Finance Act 2003 (c. 14), Sch. 31 para. 18, Sch. 43 Pt. 3(10)
F2Sch. 12 para. 15(1)(d) and preceding word inserted (with effect in accordance with s. 168(3)(b) of the amending Act) by Finance Act 2003 (c. 14), Sch. 31 para. 18