Chapter 1 Introduction 2
What is intellectual property？ 2
Business intellectual property 3
Use of intellectual property in business 5
Overview of transactions involving intellectual property 6
Overview of tax issues affecting intellectual property 7
Differences in approach to intellectual property between legal and tax/accountacy 8
Chapter 2 Introduction to intellectual property 9
Introduction 9
Location of intellectual property 10
What is intellectual property？ 11
Patents 12
Data exclusivity and supplementary protection certificates 17
Copyright 18
Design rights and registered designs 20
Trademarks 23
Know-how and show-how 25
Other intellectual property rights 26
Tax definition of intellectual property： corporate tax 29
Perspectives： tax/accounting versus legal 29
Legal characteristics of intellectual property 30
Chapter 3 Creating intellectual property 34
Introduction 34
Who do these rules apply to？ 35
Business： trade， profession or vocation 36
Is the expenditure on creating the intellectual property classed as capital or revenue？ 39
Revenue expenditure 44
Capital expenditure 49
Income from assisting with creating intellectual property 52
Checklist 53
Chapter 4 Research and development allowances 55
Introduction 55
Qualifying research and development 56
Qualifying expenditure 56
Tax deduction 58
Tax charge on disposal 59
Adjustments 61
Checklist 63
Chapter 5 Acquiring intellectual property—individuals and non-corporates 65
Introduction 65
Acquisition expenditure 66
General rules 69
Patents 71
Copyright 82
Know-how and show-how 86
Checklist 90
Chapter 6 Exploiting intellectual property 92
Introduction 92
Exploitation or disposal？ 93
Expenditure 95
Receipts： general rules 95
Revenue or capital？ 96
International aspects 98
Patents 100
Copyright 102
Know-how 103
Checklist 104
Chapter 7 Disposing of intellectual property 106
Introduction 106
Part-disposals 107
Receipts： general rules 107
Particular issues 111
Paten ts 112
Copyright 117
Know-how 118
Other unregistered intellectual property 120
Checklist 120
Chapter 8 Corporate intangibles tax rules： introduction 124
Introduction 124
GAAP-compliant accounts 125
What is an intangible fixed asset？ 126
When is intellectual property excluded from the intangibles rules？ 129
Related parties 133
Checklist 134
Chapter 9 Creating intellectual property 135
Introduction 135
Relevant intellectual property assets 136
Deductible expenditure 136
Excluded expenditure 136
How much is deductible？ 138
Effect of accounting debits on tax computation 139
Checklist 140
Chapter 10 Research and development expenditure 141
Introduction 141
Qualifying ‘research and development’？ 142
Research and development tax relief 153
Payable research and development tax credit 173
Large companies’ relief 178
Refunds of expenditure 182
Anti-avoidance 182
Administration 182
Vaccine research relief 183
Research and development allowances 187
Checklist 187
Chapter 11 Acquisition of intellectual property by companies 189
Introduction 189
Relevant intellectual property 190
Expenditure 191
Capitalised costs 194
Withholding tax 199
Checklist 201
Chapter 12 Exploitation of intellectual property by companies 202
Introduction 202
Revenue recognition 204
Receipts 210
Part-realisation： exclusive licences 211
Effects of debits and credits on computation 216
Double tax relief 217
Checklist 218
Chapter 13 The patent box 220
Introduction 220
Who can claim？ 221
Qualifying intellectual property 222
Qualifying companies 225
Group companies 231
Calculating the patent box relief 232
Standard calculation 233
Streaming calculation 254
Patent box losses 259
Anti-avoidance 263
Summary 264
Checklist 265
Chapter 14 Disposals of intellectual property by companies 268
Disposal or realisation 268
Deemed disposal or realisation 269
General rules 269
Specific situations 273
Roll-over relief 275
Other reliefs 283
Checklist 283
Chapter 15 Value Added Tax 285
Introduction 285
Charging VAT 287
Supplies to UK businesses from outside the UK： the reverse charge 294
Supplies to UK consumers from outside the UK 295
Use and enjoyment 295
Digitised goods and electronically supplied services： licences of intellectual property to consumers 297
Research and development 300
Checklist： place of supply and VAT charge 303
Chapter 16 International intellectual property tax issues and planning 305
Introduction 305
UK tax residence 307
Importing intellectual property into the UK 311
Exporting intellectual property from the UK 319
Transfer pricing 322
Controlled foreign companies 330
Individuals： overseas income and gains 334
UK tax treaties 336
Domestic relief 338
EU Interest and Royalties Directive 340
International comparisons 341
Chapter 17 Intellectual property transactions 344
Licensing 344
Transfer or assignment of intellectual property 351
Litigation 355
Reconstructions： transfer of trade 359
Mergers and acquisitions 361
Software 363
Websites 369
Chapter 18 Structures and businesses 372
Joint ventures 373
Structures： cost-sharing arrangements 377
Transactions between connected or related parties 385
Intellectual property holding companies 390
UK group companies 401
Group transactions 409
Leaving the group following an intra-group transfer 413
Roll-over relief in groups 422
Intellectual property tax incentives： effect of being in a group 426
Types of intellectual property business 429
Creative professionals： authors， artists， composers etc 429
Hobbyist inventors 444
Performers： actors， musicians etc， and sportsmen 445
Film production companies： rules and reliefs 453
Research companies 467
Franchises 469
Manufacturing and services 474
Trading in intellectual property 475
Intellectual property investment 475
Index 477