PART 15D

Orchestra tax relief
CHAPTER 3

Orchestra tax relief

Additional deduction

Amount of additional deduction
1217RE
1
The amount of an additional deduction to which a company is entitled as a result of a claim under section 1217RD is calculated as follows.
2
For the first period of account during which the separate orchestral 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
UK
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—
E − P
where E is—
1. so much of the qualifying expenditure incurred to date as is
UK
expenditure
, or
2. 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).
Pt. 15D inserted (with effect in accordance with Sch. 8 para. 17(1)(a) of the amending Act) by Finance Act 2016 (c. 24), Sch. 8 para. 1
Words in s. 1217RE substituted (31.12.2020) by The Taxes (Amendments) (EU Exit) Regulations 2019 (S.I. 2019/689), regs. 1, 16(35) (with regs. 39-41); 2020 c. 1, Sch. 5 para. 1(1)
Pt. 15D modified (with application in accordance with s. 19(1)(4) of the amending Act) by Finance Act 2022 (c. 3), s. 19(1)(4)
Word in s. 1217RE(2) substituted (with effect in accordance with Sch. 4 para. 12(2) of the amending Act) by Finance Act 2024 (c. 3), Sch. 4 para. 6(1) (with Sch. 4 para. 12)
Word in s. 1217RE(3) substituted (with effect in accordance with Sch. 4 para. 12(2) of the amending Act) by Finance Act 2024 (c. 3), Sch. 4 para. 6(1) (with Sch. 4 para. 12)