R&D Tax Credits for
Technology activity and R&D Tax Relief.
By definition, research & development sets out to seek advances and overcome scientific or technological uncertainty. So, it's unsurprising that technology is a sector that benefits hugely from R&D Tax Credits. All subsectors within technology, such as FinTech, FemTech, EdTech, and so on, are also highly eligible.
Qualifying technology expenditure for R&D Tax Credits.
Integrating novel AI and machine learning, or enhancing existing software.
Innovating methods of data processing and improving storage technologies
The development of cloud computing.
Enhancing virtual reality (VR) software within gaming, entertainment, or property listing.
Integrating robotics into digitalised systems.
R&D Tax Credits, explained.
What are R&D Tax Credits?
The Government implemented the Research and Development Tax Credits (R&D Tax Credits) Scheme to help fuel innovation in the UK, by rewarding companies bringing new products, processes or services to market.
How do R and D Tax Credits work?
Companies that spend money developing new products, processes or services - or enhancing existing ones - are eligible to claim R&D Tax Credits. If you're spending money on innovation, you can file for R&D tax relief and receive it either a cash payment or a Corporation Tax reduction from HMRC.
Is my technology business eligible for R&D tax relief?
To make an R&D Tax Credit claim, you must meet the following criteria:
Be a UK limited company that is subject to Corporation Tax
Have carried out qualifying research and development activities
Have spent money on these activities
Our end-to-end R&D Tax Credits Service.
The HMRC-recommended approach to R&D Tax Credits.
Fixed Fee, no upfront costs.
We take the stress away from claiming R and D Tax Credits. Our specialists complete both the Financial and Technical reports and submit your R & D claim to HMRC so you don't have to.
We're so confident in our end-to-end R&D Tax Credits service that our fixed fee is charged only upon success.
R & D Claim completion within 3-5 working days
End-to-end R&D Tax Credits service
Financial & Technical Report completion
Dedicated Account Manager & R&D Tax Specialist
100% Success Rate
Full HMRC Enquiry Support at no extra cost
Trusted by technology companies.
FAQs: Technology R&D Tax Credits.
Is there a minimum spend associated with filing R and D Tax Credits?
No -there isn't a minimum amount of R&D spending that makes you eligible to claim R&D Tax Credits. As soon as you incur costs through qualifying R&D activities, you can start claiming!
Can travel expenses be included in my R & D Tax Credit claim?
Yes, travel expenses (i.e - flights and hotels) can be claimed within your R&D tax credits. But for these costs to be included in the R & D claim, employees must have paid for them as an out-of-pocket expense on their personal card and been reimbursement by the business.
Once my R & D claim is approved, how long does it take to receive the benefit?
HMRC aims to pay out R & D tax claims within 28 days. Typically, we see our clients receive their tax benefit from HMRC within 4-6 weeks.
Which areas of my technology expenditure can be included in my R & D claim?
R and D Tax Credits allow claimants to recover costs related to staffing, subcontractors and consultants, hardware, software, and consumables.
Is VAT included in an R&D Tax Credit claim?
VAT expenses cannot be included in an R&D tax credit claim. The only exception is if VAT costs are not recoverable through a VAT return. This could be because your business hasn’t reached the current VAT revenue threshold of £85,000 or if your business is exempt from paying VAT altogether.
Are there any upfront costs involved in Claim Capital's service?
At Claim Capital, we believe in joint success. That's why we don't charge our clients a penny until they receive their R & D claim benefit from HMRC. Only then do we charge our cost-effective fixed fee.