Corporation Tax Act 2009 section 1217RC

Core expenditure

Section 1217RC defines what counts as "core expenditure" for the purposes of orchestra tax relief, distinguishing it from other types of spending that do not qualify.

• Core expenditure covers the costs directly involved in producing a concert or concert series, including travel to non-standard venues
• Indirect costs such as financing, marketing, legal services, accountancy fees, storage, and provision of incidental goods or services to the audience are excluded
• Costs of the actual performance itself, such as payments to musicians for performing in the concert or concert series, are not core expenditure
• Speculative development expenditure incurred before a production is confirmed to go ahead does not qualify, and educational teaching or training costs only count if they form part of a rehearsal