Section 1043 | Overview of Chapter ^F1

(1)This Chapter provides relief for companies that are small or medium-sized enterprises, invest heavily in research and development, and do not make associated trading profits.

(2)Section 1044 provides relief in the form of an additional deduction where the investment is made in the course of a loss-making trade.

(3)Section 1045 provides relief in the form of a deemed trading loss where the investment is made the course of activities that do not yet amount to the carrying on of a trade.

(4)Section 1045ZA specifies the intensity of spending on research and development needed for a company to qualify for relief under section 1044 or 1045.

(5)Sections 1047 and 1048 make provision about the procedure for claiming, and the effect of, relief under section 1045.

(6)Section 1049 restricts consortium relief where relief under section 1044 or 1045 is claimed.

(7)Sections 1051 to 1053 describe the expenditure by reference to which the entitlement to relief under section 1044 or 1045 arises.

(8)Sections 1054 to 1062 provide further relief in the form of a payable credit (called an “R&D tax credit”) in respect of trading losses increased or generated by relief under section 1044 or 1045.

(9)Section 1062A excludes certain insurance companies.

(10)This Chapter has to be read with Chapter 8, which limits the entitlements given by this Chapter in various respects.