R & D – Could you be missing out on a claim?
Research by HM Revenue & Customs (HMRC) has found that East of England businesses are making use of the Research and Development (R&D) tax relief. This is great news for the region!
Last year, East of England business made 2,630 of the 26,070 claims made, 2,180 of these on the Small or Medium-size Enterprise Scheme, according to the HMRC statistics. The overall sum claimed by the region amounted to £370 million.
So what are Research and Development (R&D) tax relief and tax credits?
R&D tax relief and tax credits are a tax relief designed to encourage greater R&D spending, leading in turn to greater investment in innovation. They work by reducing a company’s tax bill or payment of a cash tax credit to the company.
Of the 26,000 plus claims were made in 2015-2016 over 73% were in Manufacturing, Information & Communication and Professional, Scientific and Technical.
“The perception of R & D can be that it is just for businesses with people in white coats in a lab, that’s a very popular misconception when it comes to R & D Tax relief. We have worked with a wide variety of clients across all industries in our region.”
Jason Parrish, Tax Manager, Haines Watts East Anglia
Recently Haines Watts East Anglia have helped an East Anglian based IT company make a 200k tax saving, a Plant Hire company 142k, a Construction company 228k and a Technology company £1.4m and that’s just a few of the successful claims.
With over 142,000 business in the East of England, making up 25% of business in the region, in the industry sectors of Manufacturing, Information & Communication and Professional, Scientific & Technical there is still plenty of scope for claims and SME’s could be missing out.
Haines Watts works with a range of businesses across the UK – from architects and manufacturing companies to engineers, vets and breweries – and has helped save businesses more than £27 million in R&D tax relief.
If you think your business could be eligible for R & D Tax relief then give us a call now on 01379 640555 or email us here.
Want to know more? Call us on 01379 640555 or email email@example.com