(1) Section 766 of the Principal Act is amended -

(a) in subsection (1)(a) in the definition of "qualified company" by substituting the following for subparagraphs (ii) and (iii):

"(ii) carries out research and development activities in the relevant period,

(iii) maintains a record of expenditure incurred by it in the carrying out by it of those activities, and

(iv) in the case of a company which is a member of a group of companies that carries on research and development activities in separate geographical locations, maintains separate records of expenditure incurred in respect of the activities carried on at each location;",

(b) in subsection (1)(a) by inserting the following definition after the definition of "research and development activities":

"'research and development centre' means a fixed base or bases, established in buildings or structures, which are used for the purpose of the carrying on by a company of research and development activities;",