R&D tax credit rates are the equivalent of up to 33p for every £1 of qualifying R&D expenditure.
The R&D Tax Credits scheme was established by the UK government to promote innovation and global competitiveness. Any limited Company, organisation or plc that is registered for, or paying Corporation Tax in the UK can claim irrespective of whether they are making a loss or not.
If your UK company has developed a new product/service or process, or sought to materially enhance an existing one and there has been technical innovation and some form or risk (i.e. the outcome was unclear), it is likely that you will be eligible to claim R&D tax credits. From HMRC’s perspective, they want to know what the scientific or technological advance was that you sought to create on your product/service/process.
- Were there technological uncertainties involved? i.e. could the product/ service/ process fail?
- How where these technical uncertainties overcome, or if not, then why and how was the product/service/process not readily available in the marketplace or supplied by another competent professional?
If you’d like to find out about whether any innovative projects your company has developed may be eligible for R&D Tax Credits, get in touch with us today: firstname.lastname@example.org T: 020 7993 4220.