[F12(1)The amount of the first-year tax credit to which a company is entitled for a chargeable period in which it has a surrenderable loss is an amount equal to—U.K.
(a)19% of the amount of the surrenderable loss for the chargeable period, or
(b)if the amount mentioned in paragraph (a) exceeds the upper limit, the upper limit.
(2)The upper limit is the greater of—
(a)the total amount of the company's PAYE and NICs liabilities for payment periods ending in the chargeable period (see paragraph 17), and
(b)£250,000.
(3)A company which is entitled to an amount of first-year tax credit may claim the whole amount or part only of the amount.
(4)The Treasury may by order substitute for the percentage for the time being specified in sub-paragraph (1)(a) such other percentage as it thinks fit.
(5)An order under sub-paragraph (4) may make such incidental, supplemental, consequential and transitional provision as the Treasury thinks fit.]
Textual Amendments
F1Sch. A1 inserted (with effect in accordance with Sch. 25 para. 9 of the amending Act) by Finance Act 2008 (c. 9), Sch. 25 para. 5