Research & Development
How we can help
Ever since 1st April 2002, HMRC have allowed a qualifying research & development tax credit on qualifying expenditure to help drive innovation and growth across the UK. Any company that undertakes such work is entitled to claim this relief, although a lot of companies are not aware of the criteria and could be missing out on valuable tax relief or are unaware they qualify.
The criteria between the two different tax relief schemes which are the Small or Medium Enterprise (SME) or the Research & Development Expenditure Credit (RDEC for Large Companies) schemes differ slightly and checking what expenditure qualifies and meets the criteria is important to ensure you get the correct relief but also, giving the opportunity of maximising the relief.
The team at RFBS can help you to drive innovation, becoming leaders in varying sectors to drive growth, competition and develop whilst ensuring you can claim the correct tax relief to continue doing the vital work that drives our economy in our varying scientific and technological sectors.
What do the schemes do?
The importance of the scheme is that a company must be undertaking development activities to achieve key development in many different sectors via some form of advancement to science and technology. A wide range of differing business activities that lead to innovation, improvement or development of a product, service or process may well qualify for R&D relief.
Both schemes are well-designed to give you a reduction in any tax bills or even a cash repayment for qualifying work. For every £100 spent on qualifying R&D work, you could get up to an additional £130 deduction. This works out as up to a 43.7% tax to be recovered from HMRC via tax relief or cash in the bank!
Our support can include a range of different advice or improvements such as identifying qualifying activities, checking eligibility criteria, analysing current schemes and utilisation, reviewing processes and your current scheme operating model and identifying key business sectors.
As part of the process, we can offer a free review your current processes and activities to see if improvements can be made or assist with claiming the expenditure credit. As the R&D credit work can greatly differ between businesses and involves technical claim building, our fee for such work is result based which means that if we cannot get a successful claim, there is nothing to pay! This means we take all the risk to ensure you are rewarded for your work.
Our help and advice can include
- What is the R&D scheme and how does the relief work?
- Eligibility – SME Scheme
- Eligibility – RDEC Scheme
- How do I make a claim?
- What activities and sectors qualify?
- Maximising the claim and how best to carry out R&D work
- Reviewing the current procedures to ensure full utilisation of the schemes