Research & development
Research relief for your business
If you’re creating a new product or service or undertaking research, and it may be some time before you see a profit, you’re entitled to claim for research and development (R&D) credits. If this sounds like you, you might be able to reinvest those tax savings straight back into your business.
Helping you claim
As your accountant, we’ll work with you to understand whether or not you’re eligible, before putting together a claim that works for you. If you’re performing any research that involves any kind of risk, or working to improve a product or service, then you’re likely to qualify.
R&D doesn’t just mean someone conducting work in a lab – HMRC defines it as something much broader than that, and includes work on materials, for example. But don’t worry about trying to work this out yourself – that’s what we’re here for.
What can you claim? In short, up to 43.7% of your qualifying R&D expenditure.
The average claim is around £78,000.
How we’ve helped
Five years ago, we identified the potential for an R&D claim for one of our clients whose company’s activities involve importing. Our R&D specialist spent some time with the directors and key management of the company and they made their first claim in 2011.
Since this time, the company have continued to make annual R&D claims. With the help of our specialist, they’ve identified £1.2m of R&D expenditure and have saved £326,000 in corporation tax to date.