Do you qualify for an R&D claim? As a small business owner, this is one of the tax write offs you are wondering if you qualify for. So, do you and does your business qualify for this write off? These are a few things which must occur in order to ensure you qualify.
Do you develop?
If you are a company which spends time developing new products, process, or services, you may qualify. If you are currently enhancing any of these products or services, you may also qualify for the tax credit.
Your R&D claim is equivalent to about 33p for every £1 of qualifying expenditures; they can be used as alternatives for grants in research and development, or they can be used in order to supplement a grant which your company has received.
Only companies who are in the research and development (or modification) will qualify for the credit. It can be used towards paying for research, paying freelancers, contractors, and other specialists, and it can be used for salaries, contributions, or towards NIC costs.
Expenditure, cost of materials, and other costs which are linked to the research which is done, can also be paid for using the tax credit if your business is eligible for it.
A good way to determine eligibility is if you aren’t sure if your product/service is scientifically or technologically possible, you may qualify for the credit. You are going to be required to do ongoing research, in order to learn and to help in the development of that product or service you are building as a company.
Due to the specific nature of the work which you are doing, your company may qualify for this credit in order to help in funding the work. If you are doing this type of research based work, it is important to check if your company may qualify for the research and development tax credit. If you would like some more information on R&D claims then visit randdclaims.co.uk.