Commentary on Sections Overview Overview Section 1044: Additional deduction in calculating profits of trade
2709.This section allows the company to claim the relief, gives the conditions that have to be met and the amount of the relief. It is based on paragraphs 1 and 13 of Schedule 20 to FA 2000.
2710.Relief under this Chapter is given as an additional deduction for expenditure that is already deductible in calculating trade profits (see subsections (5) and (7)). The amount of the deduction is increased by 75% (see subsection (8)).
2711.The relief has to be claimed (see subsection (6)). The procedure for making the claim is in Part 9A of Schedule 18 to FA 1998.
2712.This section makes clear that relief is given only to companies liable to corporation tax. See Change 77 in Annex 1 and the commentary on section 1039 (overview of Part).