As cashflow becomes ever more critical in the coming months due to the current economic pressures caused by the COVID-19 outbreak, R&D tax relief could be a great area to help businesses access cash quickly.
HM Revenue and Customs are working around the clock to process R&D claims, most being completed within 28 days. This means you could get a cash influx into your bank very quickly.
What is Research and Development tax relief?
SMEs who are either starting or have completed any qualifying R&D can get a refund from HMRC or an additional 25% deduction of R&D expenditure from the corporation tax bill. For loss making companies, you could get as much as 33% of R&D expenditure back.
Isn’t R&D just for high tech innovation?
Not at all. R&D tax relief can be claimed by a wide range of business sectors, not just tech.
If you have developed a new product or process to overcome design or development problems then you could be eligible. So you could be doing R&D and don’t even realise it.
All data and figures referred to in our news section are correct at the date of publishing and should not be relied upon as still current.
