We were approached recently by The Times to write an article on R&D tax credits, which we were very happy to do. It fits in nicely with our mission to raise awareness of R&D tax credits and the benefits that they provide. The article – entitled ‘Looking for a cashflow boost for your company?’ – was published last Saturday in the weekly Business Owners’ Checklist.
As the article highlighted, these are uncertain times for business owners and cashflow is going to be very important. One cash-generating option companies really should consider is R&D tax credits. This is a lucrative tax incentive that can generate significant amounts of cash that could be vital over the coming months.
What qualifies as R&D?
If your company carries out technical problem solving it may be able to claim R&D tax credits for the last two financial years. This could include developing new or improved products, specialist design work or improving processes. Companies in sectors such as engineering, manufacturing, software, construction, fire & security, architecture, food & drink, agriculture and more can potentially claim. It is surprising what activities can qualify.
A claim can lead to a cash repayment of corporation tax already paid or a reduction in future corporation tax. A cash payment can also normally be claimed even if little or no corporation tax arises.
How we can help you
We have a team of qualified accountants, chartered tax advisers, PhD scientists, experienced engineers and software specialists with 20 years’ experience of preparing successful R&D tax credit claims. We can discuss R&D activities with a company in any sector to establish whether a claim may be possible and prepare claim documentation.
This could lead to your company generating a significant amount of cash which could be essential for cashflow.
If you would like to know more about R&D Tax Credits, please get in touch to arrange a no-obligation discussion.