Part 13Additional relief for expenditure on research and development

Chapter 9Supplementary

Miscellaneous

1138“Subsidised expenditure”

1

For the purposes of this Part a company's expenditure is treated as subsidised—

a

if a notified State aid is, or has been, obtained in respect of—

i

the whole or part of the expenditure, or

ii

any other expenditure (whenever incurred) attributable to the same research and development project,

b

to the extent that a grant or subsidy (other than a notified State aid) is obtained in respect of the expenditure,

c

to the extent that it is otherwise met directly or indirectly by a person other than the company.

2

In this section “notified State aid” means a State aid notified to and approved by the European Commission.

3

For this purpose the following are not State aids—

a

relief under this Part, F1...

b

R&D tax credits under this Part.

F2c

R&D expenditure credits under Chapter 6A of Part 3.

4

For the purposes of this Part a notified State aid, grant, subsidy or payment that is not allocated to particular expenditure is to be allocated to expenditure of the recipient on a just and reasonable basis.