Part 13Additional relief for expenditure on research and development

Chapter 2Relief for SMEs: cost of R&D incurred by SME

Amount of tax credit

1058Amount of tax credit

1

The amount of the R&D tax credit to which a company is entitled for an accounting period is—

a

F112.5% of the amount of the Chapter 2 surrenderable loss for the period, or

b

if less, the total amount of the company's PAYE and NIC liabilities for payment periods ending in the accounting period.

2

The Treasury may by order replace the percentage for the time being specified in subsection (1)(a) with a different percentage.

3

An order under subsection (2) may contain incidental, supplemental, consequential and transitional provision and savings.