Part 13... expenditure on research and development

Chapter 7Relief for large companies: vaccine research etc

Introductory

F11085Overview of Chapter

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11086Meaning of “qualifying R&D activity”

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Reliefs

F11087Deduction in calculating profits of trade

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11088Declaration about effect of relief

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F21089SMEs: amount of deduction

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F31090Modification of section 1089 for larger SMEs

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11091Amount of deduction

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F41092SMEs: deemed trading loss for pre-trading expenditure

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F41093Modification of section 1092 for larger SMEs

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F41094Relief only available to SME where company is going concern

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Deemed trading loss: further provision

F41095Elections under section 1092

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F41096Treatment of deemed trading loss under section 1092

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Threshold

F51097R&D threshold

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Qualifying expenditure

F11098Meaning of “qualifying Chapter 7 expenditure”

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F61099SMEs: qualifying expenditure “for” an accounting period

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11100Qualifying expenditure “for” an accounting period

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11101Qualifying expenditure on in-house direct R&D

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F11102Qualifying expenditure on contracted out R&D

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Tax credit: entitlement and payment

F71103Entitlement to and payment of tax credit

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71104Meaning of “Chapter 7 surrenderable loss”

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71105Amount of trading loss which is “unrelieved”

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71106Tax credit only available where company is going concern

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amount of tax credit

F71107Amount of tax credit

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71108Total amount of company's PAYE and NIC liabilities

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Supplementary

F71109Payment of tax credit

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71110Tax credit payment not income of company

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F71111Restriction on losses carried forward where tax credit claimed

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Tax avoidance

F11112Artificially inflated claims for relief

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .