Part 16Companies with investment business
Chapter 5Companies with investment business: receipts
1252Industrial development grants
1
If a company with investment business receives a payment by way of a grant under—
a
section 7 or 8 of the Industrial Development Act 1982 (c. 52), or
b
Article 7, 9 or 30 of the Industrial Development (Northern Ireland) Order 1982 (S.I. 1982/1083 (N.I. 15)),
the payment is to be treated as an amount to which the charge to corporation tax on income applies.
2
Subsection (1) does not apply if—
a
the grant is designated as made towards the cost of specified capital expenditure,
b
the grant is designated as compensation for the loss of capital assets, or
c
the grant is for all or part of a corporation tax liability (including one that has already been met).
3
Tax is not charged under this section if the payment is taken into account (under another provision) in calculating profits for corporation tax purposes.