Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Corporate Intangibles Research and Development Manual

From
HM Revenue & Customs
Updated
, see all updates

Intangible assets within CTA09/PART8: FA02 rule: asset acquired on or after 1 April 2002 from a related party in qualifying circumstances: outline

CTA09/PART8/S882 (1)(c) and (3) - (5) - Outline

FA02 rule

In certain circumstances an intangible fixed asset ‘acquired on or after 1 April 2002’ by a company may also satisfy the general conditions (CIRD11520) even though the transferor was a related party at the time of the acquisition. To do so one of the following must apply:

  • the asset was acquired from a company in whose hands the asset was already within Part 8 (see CIRD11630)
  • the asset was acquired from a person who in turn acquired the asset on or after 1 April 2002 from a sufficiently unrelated transferor (see CIRD11640)
  • the asset was ‘created (by anybody) on or after 1 April 2002’ (see CIRD11650)

Definitions

See CIRD11670 and CIRD11690 for when an asset is regarded as ‘acquired’ for the purpose of this rule.

See CIRD45105 onwards for the meaning of ‘related party’.