Accelerate your cash flow with R&D tax relief

HM Revenue and Customs are doing a great job at the moment in very challenging circumstances to get R&D tax relief cash into company’s bank accounts at a very quick rate.  They are currently processing 95% of R&D claims within 28 days of submission.

As cash becomes increasingly tight due to the Coronavirus Pandemic R&D tax relief is a great area to help businesses access cash quickly.

What is Research and Development tax relief?

Small and Medium Sized companies who undertake qualifying R&D can get a refund from HMRC or  deduction from their corporation tax bill of about 25% of their R&D expenditure.  Loss making companies can get as much as 33% of the R&D expenditure back in cash from HMRC.

A common myth is that R&D tax relief is only available to companies with ‘men in white coats’ however G+E submit a large number of successful claims for a wide variety of sectors such as computer software, manufacturing, construction, food and drink as well as ‘people in white coats’.  We come across a lot of companies that are doing R&D and don’t even realise it; often when developing a new product or amending existing products for new efficiencies.

As much as HMRC are processing submitted claims quickly, we recommend working with G+E to make sure a really robust claim is prepared very quickly too.  We can do video conferences to discuss the R&D, establish what activities your company does that qualify and maximise the return you get from HMRC.  A robust claim prepared properly is likely to access the refund quicker as HMRC are less likely to enquire into it.

Please speak to one of our R&D specialists today to maximise your R&D claim and ensure it is submitted quickly.

For more information please contact Steven Holmes, Business Tax Director, sholmes@garbutt-elliott.co.uk