Are you involved in any sort of research and development?
Funding and tax relief for innovators and high tech companies
Here’s to the innovators – the creators – the inspired. The government recognises the input you make to the British economy and has gone some way in creating legislation that you will definitely want to hear more about.
R&D Tax credits can be such a huge benefit, you can’t afford to miss out.
Spend a £1 and get nearly 25% back in tax relief
R&D tax credits allow you to claim up to 230% relief against allowable costs and give your great ideas space to flourish. Using this tax relief, you can get back 24.7p as a reduction in corporation tax, or up to 18.85p as a cash lump sum for every £1 spent on qualifying R&D activity.
On average, SMEs achieve tax savings of approximately £53,714 per claim based on 2017/18 figures, which can of course run into hundreds of thousands over multiple years.
R&D Tax credits can be such a huge benefit, you can’t afford to miss out
If your company has adapted its business model and invested in new ways of operating to adjust to the ‘new normal’ this may qualify as innovation for R&D tax relief purposes and it is worth exploring whether this might be the case. One of the most commonly overlooked opportunities which frequently qualifies is the potential to claim for investment in the development of new IT systems to improve how your business operates. Claims can also be made retrospectively for any accounting period which ended within the last two years.
Intrigued? Take our 2 minute test to see if your company could qualify.
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