Contrary to popular belief, you don’t need to have labs full of people in white coats to qualify for R&D tax relief.
The biggest hitters are in manufacturing, software and IT, and food and drink, but Jumpstart has secured R&D tax credits for a host of other companies in sectors ranging from agriculture and machining to waste and recycling.
FAQs – The impact of company size on R&D tax relief eligibility
What’s an SME?
Generally, an SME is a company of up to 500 people, with revenues of less than €100m or balance sheet assets of less than €86m. A Large Company is everyone else!
Is there different R&D tax relief schemes for different company sizes?
Yes, there are two schemes for R&D tax relief. One is for SMEs and the other is for Large Companies.
Can all types of company claim R&D tax credits?
Only Limited Companies can claim because they pay corporation tax. Partnerships, Charities and Sole Traders cannot claim.
How does sub-contracting affect an R&D Tax relief claim?
Subcontracting can be a tricky situation in an R&D tax credit claim, but it doesn’t necessarily mean you can’t claim. You need to be very sure about your contractual situation, the work you are contracted to do and who is bearing the brunt of the cost, as all these can have an effect on the eligibility of subcontracted work.