Part 13 U.K.Additional relief for expenditure on research and development

Chapter 8 U.K.Cap on aid for R&D

1114 Total R&D aid U.K.

For the purposes of section 1113 the total R&D aid, in respect of expenditure by a company (“the claimant”) attributable to a research and development project, is calculated as follows—

where—

A is the total R&D aid,

TC is the tax credits (see section 1115),

R is the actual reduction in tax liability (see section 1116),

P is the potential relief (see section 1117),

CT is the main rate of corporation tax at the time when the total R&D aid is calculated [F1 (or, in the case of a ring fence trade (within the meaning of section 277 of CTA 2010) the main ring fence profits rate at that time)], and

N is the notional relief (see section 1118).

Textual Amendments

F1 Words in s. 1114 inserted (with effect in accordance with Sch. 1 para. 22 of the amending Act) by Finance Act 2014 (c. 26), Sch. 1 para. 11