Can I claim R&D tax credits?
Composites UK through Business Partner GovGrant can help companies claim their R&D tax credits. Members will receive a 10% discount on the service fee.
Simply contact Composites UK and we will put you in touch with one of GovGrant’s specialists
What are R&D Tax Credits
The Research and Development (R&D) Tax Credit scheme is an EU initiative that is aimed at small and medium sized enterprises (SME’s), and seeks to recover development costs that companies have invested in innovative product and manufacturing processes. The UK also has a large company scheme.
Over £1.4bn was given back to UK companies in the 2012-2013 tax year, over £9.5bn since the schemes inception in 2000/01. 15,930 companies benefitted in 2012/2013, however 150,000 companies still potentially qualify.
less than 50 employees and claiming for the first time?
If you have less than 50 employees and are claiming for the first time then you could qulify for the free HMRC Advance Assurance support. Click here for more details
How do you qualify?
To qualify you need to be a UK Limited Company that has been in business for at least 12 months and do any of the following:
- Design and produce new products.
- Regularly change the way you make your products.
- Develop or improve your manufacturing processes or services.
- Develop or appreciably improve materials or devices.
- Develop samples, prototypes or undertake testing.
- Develop software, IT solutions or products in-house.
- Invested in failed projects or developed products not launched.
- Employ any staff with a technical or scientific background.
- Do you employ fewer than 500 people? More than 500 qualifies for the large company scheme.
- Internal staff costs
- Sub-Contracting costs
- Consumable costs which relate to development work
- Prototypes and expenditure related to manufacturing trials
- Utility costs including heat, light and power
- Failed projects count towards the scheme
You can claim back two financial years and your current year which could potentially deliver significant and timely cash injection for your business. A claim can then be made every year going forwards.
The average annual claim value is £46,000 pa for SME’s, and for large companies it’s £320,000 pa.
Download the HMRC simple guide to R&D tax credits here