Section 1126ZA — Corporation Tax Act 2009: Attributable expenditure: special rules for data and cloud computing

Attributable expenditure: special rules for data and cloud computing 1126ZA 1 Expenditure on data licences or cloud computing services is not to be treated as attributable to relevant research and development if, in connection with the grant of a licence or the provision of a service, a relevant person obtains—

a a right to sell data in respect of which the licence is granted or the service is provided (as the case may be);

b a right to publish, share or otherwise communicate data in respect of which the licence is granted or the service is provided (as the case may be) to a third party, other than for the purposes of communications reasonably necessary for, or incidental to, the purposes of the relevant research and development.

2 Expenditure on data licences or cloud computing services is not to be treated as attributable to relevant research and development so far as it is attributable to a qualifying indirect activity.

3 In this section— “ qualifying indirect activity ” means an activity mentioned in paragraph 31 of the Guidelines on the Meaning of Research and Development for Tax Purposes issued on 7 March 2023 and as amended from time to time; “ relevant person ” has the meaning given in section 1126A(10).