R & D Tax Credits

What it is

A  company can only claim R&D Relief if it's liable for Corporation tax

There are two schemes for claiming relief, depending on the size of the company or organisation:

• The Small or Medium-sized Enterprise (SME) Scheme
• The Large Company Scheme

In general terms, an SME is a company or organisation with fewer than 500 employees and either an annual turnover not exceeding €100 million or a balance sheet not exceeding €86 million

From 1 April 2012, the tax relief on allowable R&D costs is 225% - that is, for each £100 of qualifying costs, your company or organisation could have the income on which CT is paid reduced by an additional £125 on top of the £100 spent.

It also includes a payable credit in some circumstances.

Your company can claim for R&D Relief if an R&D project seeks to achieve an advance in overall knowledge or capability in a field of science or technology through the resolution of scientific or technological

For accounting periods ending after 9 December 2009, the project must be related to your company or organisation's trade - either an existing one, or one that you intend to start up based on the results of the R&D.

How we can help

We can help identify whether you may be eligible for this relief, and help you make the claim.