Part 1 Amendments of CTA 2010
Finance Act 2012 (2012 c 14) | Legislation

SCHEDULE 2 Profits Arising from the Exploitation of Patents etc

Section 19

Part 1 Amendments of CTA 2010

1

(1)     In CTA 2010, after Part 8 insert—

“Part 8A
Profits Arising from the Exploitation of Patents etc
Chapter 1
Reduced Corporation Tax Rate for Profits from Patents etc
357A Election for special treatment of profits from patents etc

(1)     A company may elect that any relevant IP profits of a trade of the company for an accounting period for which it is a qualifying company are chargeable at a lower rate of corporation tax.

(2)     An election under subsection (1) is to be given effect by allowing a deduction to be made in calculating for corporation tax purposes the profits of the trade for the period.

(3)     The amount of the deduction is—

RP x ((MR - IPR) / MR)

·É³ó±ð°ù±ð—

RP is the relevant IP profits of the trade of the company,

MR is the main rate of corporation tax, and

IPR is the special IP rate of corporation tax.

(4)     The special IP rate of corporation tax is 10%.

(5)     Chapter 2 specifies when a company is a qualifying company.

(6)     Chapter 3 makes provision

Powered by Lexis+®
 

Popular documents

LEXISNEXIS

Schemes of arrangement—procedure

Schemes of arrangement—procedureProduced with input from Rebecca Cousin of Slaughter and May on market practice.This Practice Note looks at the detailed procedures to be followed to implement the acquisition by a buyer (offeror) of all the shares, or one or more classes of shares, in a company

LEXISNEXIS

Strict liability

Strict liabilityStrict liabilityWhen an offence does not require proof of a mental element it is an offence of strict liability. There are some common law offences of strict liability (eg public nuisance, outraging public decency and contempt) most though are statutory, arising often under

LEXISNEXIS

Forming enforceable contracts—consideration

Forming enforceable contracts—considerationThis Practice Note examines the doctrine of consideration and the key role it plays in English law in determining whether a contract is enforceable.A promise will only be capable of being contractually enforced if it is either made in a deed or made in

LEXISNEXIS

Tort—the different types of tort

Tort—the different types of tortThis Practice Note identifies the main torts (bar negligence and nuisance, which are covered elsewhere in our related content) and their key characteristics. Specifically:•trespass to land•trespass to the person•privacy/defamation•liability for animals•employers'