C1Part 3Trading income

Annotations:
Modifications etc. (not altering text)

F1CHAPTER 6ATrade profits: R&D expenditure credits

Annotations:
Amendments (Textual)
F1

Pt. 3 Ch. 6A inserted (with effect in accordance with Sch. 15 para. 27 of the amending Act) by Finance Act 2013 (c. 29), Sch. 15 para. 1

SMEs: qualifying expenditure on sub-contracted R&D

104DExpenditure on sub-contracted R&D undertaken in-house

1

This section applies to expenditure on research and development contracted out to a company if conditions A, B and C are met.

2

Condition A is that the research and development is undertaken by the company itself.

3

Condition B is that the expenditure is—

a

incurred on staffing costs (see section 1123),

b

incurred on software or consumable items (see section 1125),

c

qualifying expenditure on externally provided workers (see section 1127), or

d

incurred on relevant payments to the subjects of a clinical trial (see section 1140).

4

Condition C is that the expenditure is attributable to relevant research and development in relation to the company.

5

See sections 1124, 1126 and 1132 for provision about when expenditure within subsection (3)(a), (b) or (c) is attributable to relevant research and development.