Research and Development Tax Credits

Research and development (R&D) tax relief and credits give a tax advantage to both small and medium sized enterprises (SMEs) and large companies undertaking qualifying activities.  Our specialist team of advisers deal with claims in a wide range of sectors.

R&D tax relief  is a government incentive to encourage companies to invest in R&D activities by claiming relief on qualifying costs.

R&D activities are not confined to companies in the technology sector.  We make claims for companies across a range of sectors including:

  • manufacturing
  • engineering
  • construction
  • automotive
  • pharmaceutical
  • software

Maximising your company's claim 

Talk to us about making a claim or increasing your claim if your company carries out activities which include:

  • seeking to resolve technological uncertainties
  • seeking to make technological advancements

There will soon be a time limit of two years from the end of the accounting period to submit an R&D claim with the return.  But until 31 March 2008, companies can still make claims for R&D tax relief (though not SME tax credits) going back up to six years.

For SMEs, 150% of the qualifying R&D costs may be claimed, as a tax deduction  For large companies, the deduction is 125%.

In addition, SMEs may choose to "trade in" their R&D losses and receive 24p for each £1 spent on qualifying R&D.

100% allowances are also available on R&D capital expenditure.

We will help you to put together a robust claim either as a stand alone project or as part of a wider tax compliance service.  Our excellent reputation with HM Revenue and Customs (HMRC) and our established relationships with the new  R&D units put our clients in a strong position.

For further details please contact Sam Vanags, Partner on +44 (0)1865 799805 or email sam.j.vanags@gtuk.com.