Research & Development Tax Relief claims on the rise

HM Revenue & Customs (HMRC) have recently released the latest statistics on the tax relief known as Research & Development (R&D) -

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/460042/RD_Tax_Credits_Statistics_September_2015.pdf

The statistics shown that:

a)      The tax relief claimed rose to £1.75m which was up 27% from the previous year.

b)      The number of claims increased to around 20,000. The majority of the increased claims came from SMEs.

Whilst this is great news for those companies making a claim for the relief, in our opinion a lot of companies are still missing out on this valuable tax relief, particularly in the North East. The statistics suggest that the lowest number of claims – 675 – were made by the North East region which is over 500 less than the second lowest claiming region – East Midlands.

It is astounding that claims by North East companies should be so low and we would encourage any company who has not considered a claim or may know little about the relief to get in touch with us. Unfortunately, it does not pay to be modest about what your company produces as it may be costing you cash!

Claims are made by companies in not only fields such as manufacturing and scientific research but also construction, wholesale, retail and financial industries! It is important that you do not dismiss a claim without speaking to one of our tax experts.

If you wish to discuss R&D in more detail, call Alan Moore (Darlington and York), Nicola Bellerby (Durham) or Lee Watson (Darlington and Durham).

 

Darlington – 01325 349700

Durham – 0191 3842244

York – 01904 784400