Corporation Tax Act 2009 section 1179AD

Groups

Section 1179AD defines what constitutes a group of companies for the purposes of the audio-visual expenditure credit regime.

• This section establishes the meaning of "group" for the audio-visual expenditure credit provisions.
• Two companies are considered to be in the same group if they meet the group definition used in the Corporation Tax Act 2010, Part 5 (group relief).
• In practice, this generally means companies where one is a 75% subsidiary of the other, or both are 75% subsidiaries of a common parent.
• This consistent use of the existing group relief definition avoids the need for a separate grouping test within the audio-visual expenditure credit rules.