Section 357BLA — Corporation Tax Act 2010: The R&D fraction

The R&D fraction 357BLA 1 The R&D fraction for the sub-stream is the lesser of 1 and— ( D + S1 ) × 1.3 D + S1 + S2 + A where— D is the company's qualifying expenditure on relevant R&D undertaken in-house (see section 357BLB), S1 is the company's qualifying expenditure on relevant R&D sub-contracted to unconnected persons (see section 357BLC), S2 is the company's qualifying expenditure on relevant R&D sub-contracted to connected persons (see section 357BLD), and A is the company's qualifying expenditure on the acquisition of relevant qualifying IP rights (see section 357BLE).

2 This section is subject to section 357BLH (R&D fraction: increase for exceptional circumstances).