DO I QUALIFY FOR R&D TAX RELIEF?

DO I QUALIFY FOR R&D TAX RELIEF?

MSC R&D PAID-ON RESULTS; FAST-TRACK PROCESS; EXPERT TEAMS

Initial Meeting

Analysis

Facts and Figures

Submissions and Review

Approval

DO I QUALIFY FOR R&D TAX RELIEF?

If you are a limited company incurring expense on developing new products, technology or processes, you may be eligible. It is not sector or technology specific, and companies across a broad range of industries are already successfully claiming.

HMRC defines R&D as work that achieves a scientific or technological advance when scientific or technological uncertainty exists.

This can include:

achieving an increase in overall scientific or technological knowledge or capability

significantly improving products, processes, materials or services through scientific or technological development.

using science or technology to duplicate the effect of an existing product or process in a new or appreciably improved way.

If you are answering YES to any of these questions, then you should talk to us!

The whole project may not qualify, only the element addressing the technological uncertainty. This is not always easy to identify but can include planning and managerial activities in some instances.

With software R&D, where development is ongoing, identifying the areas of technological uncertainty in projects is critical, as many more routine activities will not qualify.

It is possible for a company to prepare and submit its own claims. However, in order to be sure that their claim is optimised and justifiable, the company (and/or their accountants) must fully understand the detail of the HMRC guidelines (a 15-part manual) and have the time, financial and technical expertise to define, quantify and support their claim.

This is why the majority of companies either don’t claim or under claim. Or, worse still, over claim with no justifiable evidence in the case of an audit by HMRC. The alternative is to use a specialist like MSC R&D.