CAA 2001 is amended as follows.
In section 56(2) (amount of allowances and charges), before paragraph (a) insert—
After section 56 insert—
In section 59(1) (definition of unrelieved qualifying expenditure)—
after "that period" insert , and" (a) "
after "TDR" insert, and bwhere section 56A(2) applies, the person does not claim a writing-down allowance of the amount by which AQE exceeds TDR.
The amendments made by this section have effect—
for corporation tax purposes, in relation to chargeable periods beginning on or after 1 April 2008, and
for income tax purposes, in relation to chargeable periods beginning on or after 6 April 2008.