Amend section 40B (allocation of expenditure to periods) as follows.

In subsection (1) for “person” substitute “ company within the charge to corporation tax ”.

In subsection (2) after “section 40D below” insert “ or section 143 of ITTOIA 2005 ”.

In subsection (3)(b) for “up for a period—” to the end substitute “ up for a period, the accounting period of the company. ”

In subsection (6) for “made—” to the end substitute “ made not later than two years after the end of the relevant period to which the claim relates. ”

In subsection (7)(b) at the end insert “ or section 135 of ITTOIA 2005 (income tax provision corresponding to this section) ”.