Corporation Tax Act 2009 section 1047

Elections under section 1045

Section 1047 sets out the procedural requirements for making an election under section 1045 to treat pre-trading R&D expenditure as a deemed trading loss.

• The election must specify the particular accounting period to which it relates
• The election must be made in writing to an officer of HMRC
• The written notice must be submitted within two years of the end of the relevant accounting period
• These requirements apply to SMEs claiming alternative treatment for pre-trading R&D expenditure under section 1045