Easier access to R&D tax relief

By Anna Rooke, OurWorld Editor

Small and medium-sized firms in all industry sectors can now benefit from greater support when claiming tax credits for their research and development (R&D).

A network of new R&D tax credit units offering specialist advice and support for innovative firms has just been launched across the UK.

How will the new support network help?

The new tax credit units are a first point of contact for any businesses wanting to enquire about the tax credits.

Run by HM Revenue and Customs staff with specialist training, they are located in Cambridge, Leicester, Manchester and Cardiff among other locations.

How much tax relief can you claim?

The R&D credits are a form of tax relief for R&D activities that can reduce a company’s tax bill, or even provide a cash sum.

They work by allowing companies to deduct up to 150% of qualifying expenditure on R&D activities when calculating their profit for tax purposes.

Saving money and maximising innovation

Healthcare firm Intercytex is one of many firms that has already gained cash benefits from the tax credits.

"As an R&D company, we depend heavily on non-trading cash flows to enhance our product development and the R&D tax credits contribute towards this,” explains the firm’s finance controller Mike Panteli.

“It assists the company in recruiting the best available research staff, development of new and innovative products and reduces the timeline from pure research to marketing of products.”