Are you researching or developing a new product, process or service, or improving an existing one?
Research and Development. What is it ?
The term R&D conjures up images of scientists in a lab, but it’s so much more than this…
The government is rewarding companies in any sector who are working on new products, processes or services, or improving existing ones…even if it’s not successful! What’s not to like?
Research and Development is the government’s way of rewarding companies which are developing new, or improving existing, products, processes, devices and materials, or advancing the level of knowledge within their sector.R&D tax relief was introduced in 2000 for small-medium size businesses (SMEs), and in 2002 for large companies.There is a general lack of awareness of R&D tax relief, so the government are aiming to raise more awareness and improve understanding of what qualifies as technological innovation and ‘Research and Development’.WHY SHOULD YOU BE INTERESTED IN R&D TAX CREDITS?R&D tax credits offer A VITAL SOURCE OF FUNDING to help SMEs invest further.R&D Tax relief provides companies with up to 230% tax relief (225% before April 2015) on R&D costs – even if they DON’T pay Corporation Tax.You could be eligible for a cash payment and/or a reduction in your Corporation Tax.R&D tax relief are the equivalent of up to 33p for every £1 of qualifying expenditure.USE OUR R&D TAX CALCULATOR TO SEE IF YOU COULD BE ELIGIBLE TO CLAIM.If eligible you could claim R&D tax relief for your LAST 2 COMPLETED ACCOUNTING PERIODS.This means that while you’re in your 2017 accounting period, you can still consider your R&D tax credits for 2016 and 2015.They are calculated based on your R&D spend. Then, any of your qualifying expenditure is identified and enhanced by the pertinent rate.There are nearly 5.5 million companies in the UK. HMRC R&D tax credits statistics show that only 170,000 claims were made between 2000-01 and 2015-16, with only 26,000 claims in 2015-16.There’s no limit on the size of your company – don’t miss out any valuable funding you are eligible for!SAVE MONEY – HOW? CALL OUR TAX EXPERTS TODAY.