http://www.legislation.gov.uk/ukpga/2010/4/section/357PDCorporation Tax Act 2010An Act to restate, with minor changes, certain enactments relating to corporation tax and certain enactments relating to company distributions; and for connected purposes.texttext/xmlenStatute Law Database2026-04-02Expert Participation2026-01-15 Corporation Tax Act 2010s. 658(1)(d)(e)Finance Act 2010Sch. 6 para. 31Sch. 6 para. 35Corporation Tax Act 2010s. 357CHAFinance Act 2024Sch. 2 para. 14(7)Sch. 2 para. 16(2) PART 8BCHAPTER 9357PD1Section 1058(1) of CTA 2009 (amount of tax credit) does not apply to a company in relation to a qualifying trade it carries on in an accounting period in which it is a Northern Ireland company (and the following provisions of this section apply instead).2The amount of the R&D tax credit to which the company is entitled for the accounting period is, where the company has a Northern Ireland Chapter 2 surrenderable loss but does not have a mainstream Chapter 2 surrenderable loss, the lesser of—athe amount of the Northern Ireland Chapter 2 surrenderable loss multiplied by the relevant percentage, andbthe amount of the cap by reference to the company’s PAYE and NIC liabilities for the accounting period.2A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3The amount of the R&D tax credit to which the company is entitled for the accounting period is, where the company has a mainstream Chapter 2 surrenderable loss but does not have a Northern Ireland Chapter 2 surrenderable loss, the lesser of—athe amount of the mainstream Chapter 2 surrenderable loss multiplied by the percentage specified in section 1058(1)(a) of CTA 2009, andbthe amount of the cap by reference to the company’s PAYE and NIC liabilities for the accounting period.3A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4The amount of the R&D tax credit to which the company is entitled for the accounting period is, where the company has both a Northern Ireland Chapter 2 surrenderable loss and a mainstream Chapter 2 surrenderable loss, the lesser of—athe sum of—ithe amount of the Northern Ireland Chapter 2 surrenderable loss multiplied by the relevant percentage, andiithe amount of the mainstream Chapter 2 surrenderable loss multiplied by the percentage specified in section 1058(1)(a) of CTA 2009, andbthe amount of the cap by reference to the company’s PAYE and NIC liabilities for the accounting period.4A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5For the purposes of this section “the relevant percentage” means—A×(100+BC)where—A is the percentage specified in section 1058(1)(a) of CTA 2009;B is the percentage specified in section 1044(8) of CTA 2009;C is the adjusted section 1044 percentage as defined by section 357PC(6).6Sections 1112B to 1112E of CTA 2009 (determination of cap by reference to PAYE and NIC liabilities) apply for the purposes of subsections (2)(b), (3)(b) and (4)(b) as they apply for the purposes of section 1058(1) of CTA 2009.

Pt. 8B inserted (with effect in accordance with s. 5 of the amending Act) by Corporation Tax (Northern Ireland) Act 2015 (c. 21), s. 1S. 357PD(2)(2A) substituted for s. 357PD(2) (10.6.2021) by Finance Act 2021 (c. 26), Sch. 4 para. 2S. 357PD(3)(3A) substituted for s. 357PD(3) (10.6.2021) by Finance Act 2021 (c. 26), Sch. 4 para. 3S. 357PD(4)(a)(b) and words substituted (10.6.2021) by Finance Act 2021 (c. 26), Sch. 4 para. 4S. 357PD(6) inserted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(iii), 16; S.I. 2024/286, reg. 2S. 357PD(2A) omitted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by virtue of Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(ii), 16; S.I. 2024/286, reg. 2S. 357PD(3A) omitted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by virtue of Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(ii), 16; S.I. 2024/286, reg. 2Words in s. 357PD(4)(b) substituted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(i), 16; S.I. 2024/286, reg. 2S. 357PD(4A) omitted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by virtue of Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(ii), 16; S.I. 2024/286, reg. 2Words in s. 357PD(2)(b) substituted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(i), 16; S.I. 2024/286, reg. 2Words in s. 357PD(3)(b) substituted (1.4.2024 with effect in relation to accounting periods beginning on or after that date) by Finance Act 2024 (c. 3), Sch. 1 paras. 13(4)(d)(i), 16; S.I. 2024/286, reg. 2