1126Software [F1, data licences, cloud computing services] or consumable items: attributable expenditureU.K.
(1)This section applies for the purposes of this Part to identify when expenditure on software [F2, data licences, cloud computing services] or consumable items is attributable to relevant research and development.
(2)Expenditure on software [F3, data licences, cloud computing services] or consumable items is so attributable if the software [F3, data licences, cloud computing services] or consumable items are employed directly in relevant research and development.
(3)Subsection (4) applies if software [F4, data licences, cloud computing services] or consumable items are partly employed directly in relevant research and development.
(4)The appropriate proportion of the expenditure on the software [F5, data licences, cloud computing services] or consumable items is treated as attributable to relevant research and development.
(5)Subsection (6) applies if software [F6, data licences, cloud computing services] or consumable items are employed in the provision of services, such as secretarial or administrative services, in support of other activities.
(6)The software [F7, data licences, cloud computing services] or consumable items are not, as a result of their employment in the provision of those services, to be treated as themselves directly employed in those activities.
[F8(7)This section is subject to sections 1126A and 1126B.]
Textual Amendments
F1Words in s. 1126 heading inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(a), 20
F2Words in s. 1126(1) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F3Words in s. 1126(2) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F4Words in s. 1126(3) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F5Words in s. 1126(4) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F6Words in s. 1126(5) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F7Words in s. 1126(6) inserted (with effect in relation to accounting periods beginning on or after 1.4.2023) by virtue of Finance (No. 2) Act 2023 (c. 30), Sch. 1 paras. 3(4)(b), 20
F8S. 1126(7) inserted (with effect in accordance with s. 28(7) of the amending Act) by Finance Act 2015 (c. 11), s. 28(2)
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))