R&D Tax reliefs: R&D expenditure credit (RDEC) scheme: insurance companies treated as large companies and I-E basis
Chapter 6A CTA 2009 S104U and V
Insurance companies can claim an RDEC by virtue of FA2012. This section applies where an insurance company carries on life assurance business and is a SME in the period.
This section applies when profits are calculated on the I-E rules and the charge to tax does not include any BLAGAB (Basic Life Assurance and General Annuity Business) trade profits or losses.
Any RDEC is treated as a deemed I-E receipt as if it had been taken into account in calculating the company’s BLAGAB profit or loss.