Research & Development
Download our fact sheet on Research & Development here.
15 March 2023
Research & development (R&D) by UK companies is being actively encouraged by Government through a range of tax incentives. The government views investment in research and development as a key to economic success. It is therefore committed to encouraging more smaller and medium sized (‘SME’) companies to claim R&D tax relief.
The incentives are only available to companies and include:
• increased deduction for R&D revenue spending and
• a payable R&D tax credit for companies not in profit.
The government is committed to improving access to R&D highlights the need for more SME companies to understand what relief is available and how the process of claiming tax relief works. Recent changes to R&D scheme rates have increased the relief available so a clear understanding is needed to ensure that companies are aware of how the tax rules work.