R&D Services

R&D Tax Relief is a HMRC corporation tax incentive designed to encourage and reward companies of all sizes and all sectors who are engaged in innovation. The advantage of making a claim is a cash benefit to the company which can be as much as 33% of the qualifying expenditure identified.

There is a common misconception that only companies with teams in white lab coats will qualify however this is far from reality. Regardless of sector, if a company is spending money on research and development then they may be eligible to claim R&D Tax Relief. CBTax support thousands of companies across the UK, covering all sectors in making successful claims. Our experienced team can identify whether a claim could be possible that could fuel your desired growth plans whether this is to support further innovation, purchasing an asset or profit extraction.

Our claim process is designed to be as efficient as possible, reducing the time you need to invest into making the claim so you can do what you do best, running your business. Throughout the process, our team will also start planning your future claims and whether there are any opportunities to maximise any relief for your company going forward.
1

Free Consultation

Our R&D Technical Specialists and Chartered Tax Advisors will have a meeting with you to evaluate your business and its activities to identify whether you could qualify for an R&D Tax Relief claim. They’ll also run through our process with you and how we can ensure the claim is prepared in an efficient manner for you and your team.

2

Cost Extraction

Our Chartered Tax Advisors and research analysts will extract the qualifying costs that can be included in the R&D claim, ensuring that the claim is accurate and maximised. Not only are we looking at making a retrospective claim but also spotting opportunities that could support a larger claim in the future.

3

Technical Discussions

Our Technical Specialists will meet your key members of staff to discuss any qualifying R&D work they are undertaking, to establish what qualifies and meets HMRC’s technical criteria. These discussions typically take no longer than 2 hours. We will then prepare technical reports based on the projects that have been discussed during our meeting.

4

Submission to HMRC

We prepare a robust report that covers both the tax aspects of the claim but also the R&D technical projects. This will be reviewed with you prior to submission and once approved, the document will be submitted to HMRC with the company’s corporation tax return by our team of corporation tax specialists.

5

Report Processing

Following submission to HMRC, we will liaise with the relevant officer until your claim is processed and answer any questions that they may have. Typically, we expect a claim to be processed within 6-8 weeks from the submission date.

Which scheme applies to your company?

There are two R&D Tax Relief schemes. The scheme applicable will depend on whether the business is an SME or a large company. During initial consultations our specialist team will confirm which scheme your business falls under, whether this be SME/RDEC or a mixture of both.

SME Criteria

Less than 500 staff

Not more than €100m turnover

Not more than €86m gross assets

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Large Company Criteria

500 staff or more

More than €100m turnover
and
More than €86m gross assets

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Most companies will fall under the SME criteria. There will also be instances where a company is transitioning between an SME and large company. Our specialist team of Chartered Tax Advisers will clarify this with clients during our initial meetings.

FAQ

  • What qualifies as R&D expenditure?

    There are lots of areas that could qualify for relief, from creating a new product to making an appreciable improvement to an existing process. Most companies will see the qualifying projects as something they just do and therefore it usually takes our team of Technical Specialists to ask some questions to identify whether it is something that we could put forward to HMRC.

  • How far back can I make a claim for R&D Tax Relief?

    Claims can be made as far back as two full financial periods.

  • My company is loss making, can I still make a claim?

    Even companies that have made a loss can put a claim forward to HMRC. This will enhance the loss further and could be carried forward to offset against future periods or even surrendered for a cash credit from HMRC.

  • Can my accountant claim for me?

    Making a claim is not a numbers exercise. We undertake reviews on behalf of clients on work prepared by accountants and this usually would not be sufficient to submit to HMRC or is either incorrectly prepared or has not been maximised. Usually, accountants are not qualified Chartered Tax Advisors so although they may be in a position to prepare year end compliance, they are not best placed in providing tax advice.

  • Can I submit a claim by myself?

    The R&D claim forms part of your corporation tax return so yes you can make a submission yourself. However, we strongly recommend against this as incorrect submissions can be costly in the form of penalties and also the tax legislation is complicated and should be prepared by Chartered Tax Advisors who have an understanding of the legislation.