• How do feedstock adjustments apply to outputs that are used as inputs?

    Where a feedstock output from one R&D activity is used as a feedstock input for a later R&D activity, no feedstock adjustment will apply to it at that stage. The feedstock adjustment will only apply to the feedstock output from the final R&D activity in the chain.

    However, there may be a feedstock adjustment for any by-products that are produced as feedstock outputs before the final R&D activity. The relevant feedstock expenditure would be the amount of any feedstock expenditure that is reasonably attributable to the by-product.

    If the by-product is used as a feedstock input for a later R&D activity, it will not attract a feedstock adjustment.

      Last modified: 25 Oct 2016QC 24621