Purpose
The R&DTC scheme was designed to incentivize innovation by providing a tax benefit to companies engaged in qualifying research and development activities. This can be a reduction of taxation due on profits or a cash incentive if the company is not turning a profit.
Free money from the government. What’s not to like!
Eligibility
To be eligible for the R&DTC scheme, a company must be a UK limited company subject to UK Corporation Tax. It should also be actively engaged in research and development activities.
There is no restriction on company size. You can be a single person or a large multinational so long as you are trading as a UK company.
Your company does not have to be profitable. Many SMEs take a while to turn a profit and, so long as you can assure HMRC that you are a going concern, you can make a claim and gain a cash payout.
BBL specialises in working with smaller companies. If you are anything up to 200 employees then you have come to the right place.
SMEs can claim a higher rate of relief than larger companies. They deduct an additional percentage of their qualifying R&D expenditure when calculating their taxable profits, effectively reducing their tax liability.
Qualifying Activities
The R&DTC scheme typically covers a wide range of research and development activities, including scientific or technological innovation aimed at advancing knowledge or capability in a field of science, mathematics or technology.
Do you think you might be doing something that qualifies? It costs nothing to ask our opinion. Just fill in this simple form to make contact.
You don’t need large numbers of people in white coats.
You don’t need a large R&D budget.
You do need to be working on using science, tech. & maths to find novel ways of doing things that have not been done before.