Section 357GCZC — Corporation Tax Act 2010: R&D undertaken or contracted out by another party to CSA

R&D undertaken or contracted out by another party to CSA 357GCZC 1 Subsection (2) applies if—

a a company is a party to a cost-sharing arrangement, and b another party to the arrangement (“P”) undertakes research and development for the purpose of creating or developing the invention.

2 The research and development is to be treated for the purposes of sections 357BLC and 357BLD as having been contracted out by the company to P.

3 Subsection (4) applies if—

a a company is a party to a cost-sharing arrangement, b another party to the arrangement (“P”) contracts out to another person (“A”) research and development for the purpose of creating or developing the invention, and c the company makes a payment under the arrangement in respect of that research and development (whether to P or to A).

4 For the purposes of sections 357BLC and 357BLD—

a the company is to be treated as having contracted out to P research and development which is the same as that contracted out by P to A, and b the payment mentioned in subsection (3)(c) is to be treated as if it were a payment made to P in respect of the research and development the company is treated as having contracted out to P.

5 In this section “ research and development ” has the meaning given by section 1138.