Research & Development Tax Credits

Research and Development Relief is a Corporation Tax relief that may reduce your company or organisation's tax bill. On the assumption that the company qualifies as an SME with fewer than 500 employees and an annual turnover not exceeding £100m or with a balance sheet total not exceeding £86m, the company may be entitled to claim tax relief of 230% on allowable R & D expenditure after 1 April 2015.

As a general guideline, R & D tax credits can be claimed on the cost of employing staff who are directly or actively engaged in carrying out the research and development, the cost of the materials that are used in the research and development and on payments made to subcontractors that are assisting with the research and development.