Part 13Additional relief for expenditure on research and development
Chapter 5Relief for large companies
Qualifying expenditure
1079Qualifying expenditure on contributions to independent R&D
1
A company’s “qualifying expenditure on contributions to independent research and development” means expenditure incurred by it in relation to which each of conditions A to E is met.
2
Condition A is that the expenditure is incurred in making payments to—
a
a qualifying body,
b
an individual, or
c
a firm, each member of which is an individual,
for the purpose of funding research and development carried on by the body, individual or firm concerned (“the funded R&D”).
3
Condition B is that the funded R&D is relevant research and development in relation to the company.
4
Condition C is that the funded R&D is not contracted out to the qualifying body, individual or firm concerned by another person.
5
Condition D is that, if the payment is made to an individual, the company is not connected with the individual when the payment is made.
6
Condition E is that, if the payment is made to a firm (other than a qualifying body), the company is not connected with any member of the firm when the payment is made.