[F1PART 8AU.K.Profits arising from the exploitation of patents etc
Textual Amendments
F1Pt. 8A inserted (with effect in accordance with Sch. 2 paras. 7, 8 of the amending Act) by Finance Act 2012 (c. 14), Sch. 2 para. 1(1)
[F2CHAPTER 2AU.K.Relevant IP profits: cases mentioned in section 357A(6)
Textual Amendments
F2Pt. 8A Chs. 2A, 2B inserted (with effect in accordance with s. 64(7) of the amending Act) by Finance Act 2016 (c. 24), s. 64(3)
R&D fractionU.K.
357BLAThe R&D fractionU.K.
(1)The R&D fraction for the sub-stream is the lesser of 1 and—
where—
D is the company's qualifying expenditure on relevant R&D undertaken in-house (see section 357BLB),
S1 is the company's qualifying expenditure on relevant R&D sub-contracted to unconnected persons (see section 357BLC),
S2 is the company's qualifying expenditure on relevant R&D sub-contracted to connected persons (see section 357BLD), and
A is the company's qualifying expenditure on the acquisition of relevant qualifying IP rights (see section 357BLE).
(2)This section is subject to section 357BLH (R&D fraction: increase for exceptional circumstances).]]