Corporation Tax Act 2009 (c. 4)

[F1 PART 15C U.K. Theatrical Productions

Textual Amendments

F1 Pt. 15C inserted (17.7.2014 for specified purposes and with effect in accordance with Sch. 4 para. 16 of the amending Act, 22.8.2014 in so far as not already in force) by Finance Act 2014 (c. 26), Sch. 4 paras. 1, 16; S.I. 2014/2228, art. 2

Modifications etc. (not altering text)

C1 Pt. 15C modified (with application in accordance with s. 17(1)(4) of the amending Act) by Finance Act 2022 (c. 3), s. 17(1)(4)

Amount of additional deduction U.K.

1217J Amount of additional deduction U.K.

(1) The amount of an additional deduction to which a company is entitled as a result of a claim under section 1217H is calculated as follows.

(2) For the first period of account during which the separate theatrical trade is carried on, the amount of the additional deduction is E, where—

E is—

(a)

so much of the qualifying expenditure incurred to date as is [F2 European expenditure], or

(b)

if less, 80% of the total amount of qualifying expenditure incurred to date.

(3) For any period of account after the first, the amount of the additional deduction is—

where—

E is—

(a)

so much of the qualifying expenditure incurred to date as is [F2 European expenditure], or

(b)

if less, 80% of the total amount of qualifying expenditure incurred to date, and

P is the total amount of the additional deductions given for previous periods.

(4) The Treasury may by regulations amend the percentage specified in subsection (2) or (3).

Textual Amendments

F2 Words in s. 1217J substituted (31.12.2020) by The Taxes (Amendments) (EU Exit) Regulations 2019 (S.I. 2019/689), regs. 1, 16(29) (with regs. 39-41); 2020 c. 1, Sch. 5 para. 1(1)

1217JA “Qualifying expenditure” U.K.

(1) In this Part “qualifying expenditure”, in relation to a theatrical production, means core expenditure (see section 1217GC) on the theatrical production that—

(a) falls to be taken into account under sections 1217IA to 1217IF in calculating the profit or loss of the separate theatrical trade for tax purposes, and

(b) is not excluded by subsection (2).

(2) The following expenditure is excluded—

(a) expenditure in respect of which the company is entitled to an R&D expenditure credit under Chapter 6A of Part 3;

(b) expenditure in respect of which the company has obtained relief under Part 13 (additional relief for expenditure on research and development).]