On Friday 10 th October, we held our annual Barn Dance and wow, what a night it was! With fantastic food, magnificent music and an amazing atmosphere, this may well have been the best one yet! The event was an incredible success, with us raising...
HM Revenue and Customs (HMRC) have launched a tool to check whether a project involves Research and Development (R&D) for tax purposes.
R&D tax reliefs support UK companies working on innovative projects in science and technology. For R&D tax reliefs to be available, a project must meet certain criteria. Only activity that meets the definition of R&D for tax purposes can qualify.
The tool will help companies that are new to R&D tax reliefs or that need additional support, and give HMRC's view on whether a project involves R&D for tax purposes based on the information provided. The tool will need to be completed based on the facts of each project.
Companies can use the tool to help them:
- understand the key concepts around qualifying R&D projects;
- check what information is needed before making a claim;
- check if a project involves R&D for tax purposes.
The tool has guidance links throughout. A competent professional will be needed to answer some of the questions in the tool.
HMRC say that, if the answers given are based on the facts of a project and can be clearly supported and explained, they are unlikely to disagree that it involves R&D activities.
HMRC also note that, if a project qualifies as R&D for tax purposes, it does not always mean that relief can be claimed on all R&D-related costs.