- Latest available (Revised)
- Point in Time (01/04/2022)
- Original (As enacted)
Version Superseded: 01/04/2023
Point in time view as at 01/04/2022. This version of this provision has been superseded.
You are viewing this legislation item as it stood at a particular point in time. A later version of this or provision, including subsequent changes and effects, supersedes this version.
Note the term provision is used to describe a definable element in a piece of legislation that has legislative effect – such as a Part, Chapter or section.
Corporation Tax Act 2009, Section 1126A is up to date with all changes known to be in force on or before 13 October 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.
Changes and effects yet to be applied by the editorial team are only applicable when viewing the latest version or prospective version of legislation. They are therefore not accessible when viewing legislation as at a specific point in time. To view the ‘Changes to Legislation’ information for this provision return to the latest version view using the options provided in the ‘What Version’ box above.
(1)Expenditure on consumable items is not to be treated as attributable to relevant research and development if—
(a)the relevant research and development relates to an item that is produced in the course of the research and development,
(b)the consumable items form part of the item produced,
(c)the item produced is transferred by a relevant person for consideration in money or money's worth, and
(d)the transfer is made in the ordinary course of the relevant person's business.
(2)Expenditure on consumable items is not to be treated as attributable to relevant research and development if—
(a)the relevant research and development relates to a process of producing an item,
(b)the consumable items form part of an item produced in the course of that research and development,
(c)the item produced is transferred by a relevant person for consideration in money or money's worth, and
(d)the transfer is made in the ordinary course of the relevant person's business.
(3)If—
(a)the item produced as described in subsection (1) or (2) may be divided, and
(b)only a proportion (“the appropriate proportion”) of that item is transferred by a relevant person as described in subsection (1)(c) and (d) or (2)(c) and (d),
the appropriate proportion of the expenditure on the consumable items is not to be treated as attributable to the relevant research and development.
(4)If—
(a)a number of items are produced in the course of the relevant research and development described in subsection (2), and
(b)only a proportion (“the appropriate proportion”) of those items is transferred by a relevant person as described in subsection (2)(c) and (d),
the appropriate proportion of the expenditure on the consumable items is not to be treated as attributable to the relevant research and development.
(5)A reference in this section to producing an item includes a reference to preparing an item for transfer.
(6)For the purposes of this section a consumable item forms part of an item produced if—
(a)it is incorporated into the item produced, or
(b)it is turned into, or it and other materials are turned into, the item produced or a part of the item produced.
(7)A reference in this section to the transfer of an item is a reference to—
(a)the transfer of ownership of an item to another person (whether by sale or otherwise), or
(b)the transfer of possession of an item to another person (whether by letting on hire or otherwise),
and a reference to the transfer of an item includes, where the item is incorporated into another item, the transfer of that other item.
(8)For the purposes of this section the provision of information obtained in testing an item is not to be regarded as consideration for the transfer of that item.
(9)For the purposes of this section a transfer of an item produced in the course of research and development is not to be regarded as a transfer in the ordinary course of business if the item being transferred is waste.
(10)In this section—
“item” includes any substance;
“relevant person”, in relation to relevant research and development, means—
the company that incurs the cost of the research and development, whether it is undertaken by itself or contracted out,
the company to which the research and development is contracted out, whether it is undertaken by itself or contracted out,
the person (other than a company) who contracts out the research and development to a company and incurs the cost of the research and development,
the person (other than a company) to whom the research and development is contracted out, or
a person who is connected to a company or person described in paragraph (a), (b), (c) or (d).]
Textual Amendments
F1Ss. 1126A, 1126B inserted (with effect in accordance with s. 28(7) of the amending Act) by Finance Act 2015 (c. 11), s. 28(3)
Modifications etc. (not altering text)
C1Ss. 1126-1126B applied (with modifications) by 2010 c. 4, s. 357BLB(7)(d) (as inserted (with effect in accordance with s. 64(7) of the amending Act) by Finance Act 2016 (c. 24), s. 64(3))
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Point in Time: This becomes available after navigating to view revised legislation as it stood at a certain point in time via Advanced Features > Show Timeline of Changes or via a point in time advanced search.
Geographical Extent: Indicates the geographical area that this provision applies to. For further information see ‘Frequently Asked Questions’.
Show Timeline of Changes: See how this legislation has or could change over time. Turning this feature on will show extra navigation options to go to these specific points in time. Return to the latest available version by using the controls above in the What Version box.
Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
This timeline shows the different points in time where a change occurred. The dates will coincide with the earliest date on which the change (e.g an insertion, a repeal or a substitution) that was applied came into force. The first date in the timeline will usually be the earliest date when the provision came into force. In some cases the first date is 01/02/1991 (or for Northern Ireland legislation 01/01/2006). This date is our basedate. No versions before this date are available. For further information see the Editorial Practice Guide and Glossary under Help.
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
Click 'View More' or select 'More Resources' tab for additional information including: