Whether you’re a Small and Medium-sized Enterprise (SME) or operating under the Research and Development Expenditure Credit (RDEC) regime, the key to claiming R&D tax credits lies in your ability to demonstrate that your R&D endeavours seek to advance knowledge by addressing technological or scientific uncertainties. These uncertainties or advancements must pose challenges that even a seasoned professional in your field would find difficult to resolve. Moreover, the progress made should have the potential to benefit not just your business but the entire industry.
Meeting the eligibility criteria is only the first step in making a successful claim. Identifying qualifying costs, such as staff salaries, pension contributions, raw material expenses, and more, plays a pivotal role in determining the value of your claim.
At Holland & Co Chartered Accountants, we specialize in navigating the intricacies of R&D tax relief. We will guide you through the entire claims process, from inception to completion, and maximize your chances of securing the tax credits you deserve.
Qualifying Projects
R&D tax relief isn’t exclusive to large pharmaceutical companies; it extends to businesses across various sectors, provided certain conditions are met:
- Project Existence: There must be a defined project in place.
- Technological or Scientific Advancement: The project should seek advancement in scientific or technological domains.
- Complexity: The solution shouldn’t be readily deducible by a competent professional.
Examples of qualifying projects encompass a wide range of innovations:
- Integrating cutting-edge technology into a larger processing plant.
- Adapting materials for specialized applications, such as subsea or arctic conditions.
- Designing and crafting technically enhanced products.
- Modifying existing processes or systems to enhance efficiency, capacity, and performance.
- Developing new systems and processes.
- Conducting architectural investigations to drive system improvements.
- Creating innovative packaging solutions to extend product shelf life.
- Exploring developments in Food Technology and Processing, including piloting development samples, scaling up new alternatives, reducing preservatives, lowering salt content, and incorporating gluten-free ingredients.
At Holland & Co, we are committed to helping businesses of all sizes and sectors unlock the potential of R&D tax credits. Contact us today to explore how we can support your innovation journey and financial growth.