The Research &Development (R&D) Tax Credit introduced in the 2009 Finance Act has been extended in the 2010 Act. The existing R&D Tax Credit regime has been amended to cover companies that carry out R&D activities in different facilities in separate geographical locations when activities in one of these facilities is permanently discontinued.
The Finance Act introduces a concession for the calculation of the base year in the situation where a company closes down, or ceases to carry on a trade in one of its ‘R&D Centres’. This concession will be available for accounting periods commencing on or after 1 January 2010.