Research and Development (R&D) can be costly, not only in itself but also in the fact that payback can take months if not years. But it needs financing. The UK has some of the most effective tax reliefs available for this type of expenditure in the form of R&D tax credits.
Small and medium-sized companies can enhance their qualifying expenditure by 125% as well as the option of converting tax losses created by the relief into cash. Large companies also benefit by virtue of 30% enhancement.
R&D tax credits are unusual as they provide the taxpayer with the opportunity of claiming more in tax relief from HM Revenue & Customs (HMRC) than they have paid in tax.
These credits are aimed at companies that are actively involved in research and development. The R&D work is not restricted to any one industry and goes beyond typical 'men in white coats' scenarios. We have made sucessful claims for companies in the following sectors:
- Life sciences and pharmaceutical
- Software development
- Industrial and mechanical engineering
- Electronic products
- House building and construction
The costs associated with the R&D effort are reviewed to ensure that they are complete and are of a qualifying nature. Once finalised, the information is summarised and a report submitted to HMRC. If HMRC opens an enquiry into the claim, we will negotiate with them on your behalf and seek to ensure that this is settled without delay.
The firm’s specialist R&D unit is based in the London office. This highly motivated team pulls together the experience and specific specialist skills in tax, accounting and audit that are necessary to identify and successfully manage R&D claims for the benefit of our clients.
In the first instance, please contact Steven Levine, Claire Knight or Anton Syrocki who will be happy to help you.