Significant tax reliefs are available for expenditure on Research & Development (R & D) but many West Yorkshire companies are failing to claim the tax relief that they are entitled to because they do not think that what they do constitutes R & D.
In actual fact, the definition of R & D is much wider than is often thought with relief being available to many businesses that operate outside the traditional research industries.
Contrary to what people may think, R & D is not just about white lab coats and test tubes or carrying out some kind of ground breaking research. It can also include a much broader range of activities and we find that many straightforward manufacturing companies have significant elements of expenditure that can be categorised as R & D, and therefore eligible for the attractive tax reliefs that go with it.
Examples of businesses that have received R & D tax relief :
- Alarms & Security
- Cosmetics and personal care
- Electrical and lighting
- Food and drink
- IT and telecommunications
- Manufacturing and production
- Property and construction
- Software development
The other reason that companies do not claim the R & D tax relief to which they are entitled is that they see it as being a very complicated process. Although the legislation surrounding R & D tax relief is in fact complicated, by using specialist R & D claims advisors, the process is quite painless.
If you think that your company might qualify for R & D tax relief and would like someone to review your position then call Ashley Barrowclough on 01484 685413.