Have you heard of research and development tax credits? It’s a government scheme that enables innovative technology companies to claim back a significant portion of their tax on R&D projects. For companies in the technology and digital space, this tax credit could provide vital funds at a time like this!
Not sure if this applies to you? Well, if your technology company has completed research and development on a new process, product, or service or improved on an existing one, you’re most likely eligible.
Here’s a list of a few general examples of tech-space R&D activity:
AI & Automation
Development of new formulae
Let’s take, for example, a software company that developed a bespoke freight comparison software. This would certainly be eligible to reclaim a significant amount. Within that, this project could claim tax credits on expenditure related to:
Staff (salaries, employer’s NIC and pension contributions)
Subcontractors and freelancers
Materials and consumables
Some types of software.
It’s certainly an opportunity-rich area. In terms of our role, The Tide Group applies our specialised expertise in order to unite innovative businesses with industry-specific tax credit accountants. This drives higher reclaim amounts and pair partners with our talented pool of technology industry experts. We focus on making sure that claims are handled by people who really understand the business, inside and out. You can find out more by checking out our website or simply getting in touch.