(b)the company and the sub-contractor are connected, and
(c)in accordance with generally accepted accounting practice, the whole of the sub-contractor payment and all of the sub-contractor's relevant expenditure have been brought into account in determining the subcontractor's profit or loss for a relevant period.
1134(2) The qualifying element of the sub-contractor payment is–
(a)the entire payment, or
(b)if less, an amount equal to the sub-contractor's relevant expenditure.