Lee Sharpe looks at the valuable research and development tax relief and points out some potential pitfalls.
This article will cover some key aspects of the research and development (R&D) tax relief regime, focusing particularly on small and medium-sized enterprises (SMEs).
The SME version of R&D relief may be found at CTA 2009, Pt 13 (ss 1039 and following).
There is a ‘large company’ version of the relief, which is similar. However, SMEs will generally claim the more generous SME version unless they cannot qualify, using the large company version as a fall-back.
Either version of the relief is available only to companies
Key benefits
- Qualifying expenditure secures a 130% uplift or enhancement, purely for tax purposes.<>
