Corporation Tax Act 2009 section 1179FO

When the separate trade begins

Section 1179FO establishes when the separate production trade for a video game is treated as commencing for tax purposes.

• The section applies to the development company responsible for a qualifying video game.
• The separate production trade is treated as beginning when the design of the video game starts.
• If the company receives any income from the video game before design begins, the trade is treated as starting at that earlier point instead.
• The earlier of the two events — design commencing or income being received — determines the start date of the separate trade.