R&D Tax Claims: Is Your Business Receiving its Full Entitlement?
A guest blog by Bonham & Brook
Just over twenty years ago, the UK Government introduced the R&D Tax Scheme to incentivise those who actively push through technical uncertainty at their own financial risk. In March of this year, the government also announced that they plan to invest £22 billion per year in R&D over the next 5 years.
I am sure we needn’t tell you about the financial pressures that Coronavirus has caused this year, leaving many businesses searching for ways to stay afloat while supporting their employees. There are many government schemes put in place to assist with this, one of which is the R&D Tax Scheme, as the benefit can be received in the form of either a cash sum or a corporation tax offset.
This scheme allows businesses to claim back up to 25% – 33% of any expenditure relating to their R&D activities. This includes PAYE, subcontracting costs, utilities, materials, travel costs and more.
In our experience, many find it surprising that they qualify for the R&D Tax Scheme; this may be due to their industry or the work which they carry out. R&D takes place in many industries and is taken advantage of in a wide range of sectors. Our clients sit in (amongst other sectors): construction, engineering, food & drink, veterinary science and software.
The most common misconception is connected to the qualifying activities, of which there are many. Our specialists have years of experience across an array of industries, enabling them to articulate technical advancements in every sector in a way that is the most appropriate for HMRC criteria.
We work alongside many accountants, including Hartley Fowler, to ensure that your business receives all the financial support available from the HMRC. This is an incredibly lucrative scheme for all industries; for example, we have helped those in software receive up to £650,000 and those in construction up to £580,000.
In 2020 alone, we have allowed our clients to receive over £10 million in R&D Tax benefits.
Get in touch with us today to see how we can help you and your network at , or on +44 2035 239125.