All sectors are eligible to claim R&D tax relief, but we have found that much of the eligible R&D is going on in the food & drink, science & technology and manufacturing & engineering sectors. But give us a call and we can chat through your business and whether it will be eligible for R&D tax relief.
If you are attempting to achieve an advancement in your industry, including:
- Developing new products, processes or services
- Modifying existing products, processes or services
- Attempting to overcome a scientific or technological uncertainty
All sizes of business are eligible. There are two forms of R&D tax relief:
- Small and medium sized enterprises (SME) R&D Relief
- Research and Development Expenditure Credit.
The former is for businesses with fewer than 500 staff and a turnover of under 100 million Euros, while the latter is for companies with staff and turnover above that. We help businesses of all sizes to understand their R&D tax eligibility and submit claims to HMRC.
Please note that we can only work with limited companies, not partnerships or sole traders.
- Staff and sub-contractor costs – the costs for each individual staff member or sub-contractor who has worked directly on the R&D project/s
- Software costs – the costs of any software required for the project, particularly where new or innovative integrations are concerned
- Consumables – utility bills, wasted materials etc. Anything that was consumed or used during the R&D activity
- Qualifying Indirect Activities – this covers anything you need to keep the business running smoothly while you undertake R&D activity. Our advisers will be able to help you figure this out.
You could probably manage your own claim, but do you have the spare time, or will you ever get round to it? And how do you make sure your paperwork is correct and you are claiming the full amount?
Submitting an R&D tax claim takes time - it isn’t something you can rattle off in a few minutes. You will need to:
- Read and understand the information on the HMRC website
- Decide what R&D is in your business
- Define the projects you have carried out
- Separate the costs for R&D
- Complete the form
- Gather supporting evidence.
If you have little or no knowledge of the tax system, then this could take you a few weeks. But if you are busy, this may be a stretch to complete. The clock is ticking as you can only submit claims from the last two tax years in addition to the current one.
Using a specialist means that you have peace of mind that the R&D tax claim will work for you and your business. It gives you:
- Peace of mind that you have a maximised claim
- Security that someone else will deal with the HMRC on your behalf
- Knowing that your claim will be far more likely to be accepted
- Back up that the specialist will answer any questions and deal with an investigation, should that ever happen.
Our partners are experts in their field and have a 100% claim record.
We work with many accountants and find that they tend to fall into one of three categories when it comes to R&D tax credits:
- They understand it well and can submit a strong claim for you
- They understand it a little and might give your claim a go
- They don’t understand it at all and won’t submit a claim for you.
HMRC is continually changing its definitions and criteria relating to research and development. This means a lot of work for accountants to stay in touch with the latest developments. In certain industries such as software these changes happen often. This can make the difference between a successful claim and one that is rejected by HMRC.
We have an in-depth knowledge of R&D tax credits and how the system works. This means we leave no stone unturned when we are looking at your business and submitting a claim to the HMRC on your behalf. You get the best service from a team who deal only with R&D tax claims.
Obviously, you will need to supply us with certain information, but we will do our best to minimise the amount of time you have to spend on your claim. We take the strain and deal with the stress of speaking to the tax man, so you don’t have to. We have the knowledge and experience to submit your R&D tax claim and secure the cash for your business while you get on with what you do best – running your business.
R&D tax relief can be claimed for the current financial year and for the previous two tax years. If you have not made a claim for the past two tax years but did carry out research and development activities in that time, then you should look at getting all of your information together as quickly as possible.
Once the deadline passes and the calendar reaches 6th April, you lose the right to be able to make that claim and put much needed cash back into the business. As with many things administered by the HMRC, these are strict rules and exceptions will not be made.
If you are unsure about whether your business is eligible then get in touch with us – all you have to lose is the time taken on a quick phone call.
Complete the short form on this website and we will be in touch at a convenient time for you.