Part 6

Research and development allowances
Chapter 2

Qualifying expenditure

Qualifying expenditure incurred for purposes of NI rate activity
439A
1
Subsection (2) applies if—
a
a company that does not have a Northern Ireland regional establishment incurs expenditure for the purposes of a trade,
b
the activities for the purposes of which the expenditure is incurred would, if the company were a
NI
RE
company, be an
NI
rate activity treated as a separate trade, and
c
the company subsequently becomes a
NI
RE
company.
2
The expenditure is to be treated as incurred on the first day of the first chargeable period in which the company is a
NI
RE
company.
3
Subsection (4) applies if—
a
a partnership that does not have a Northern Ireland regional establishment incurs expenditure for the purposes of a trade,
b
the activities for the purposes of which the expenditure is incurred would, if the partnership were a Northern Ireland Chapter 7 firm, be an
NI
rate activity treated as a separate trade, and
c
the partnership subsequently becomes a Northern Ireland Chapter 7 firm.
4
The expenditure is to be treated as incurred on the first day of the first chargeable period in which the partnership is a Northern Ireland Chapter 7 firm.
5
In this section “
Northern Ireland regional establishment
” has the same meaning as in Part 8B of CTA 2010 (see Chapter 5 of that Part as read, in relation to a partnership, with section 357WA(4) of that Act).
S. 45H(2) modified (with effect in accordance with s. 167 of the amending Act) by Finance Act 2003 (c. 14) , Sch. 30 para. 7
S. 439A inserted (with effect in accordance with s. 5 of the amending Act) by Corporation Tax (Northern Ireland) Act 2015 (c. 21), Sch. 1 para. 14