Businesses with a December year-end are now at risk of missing out on valuable tax relief if they don’t submit a Research & Development (R&D) claim before the end of their accounting year. If your business invests in innovation, but are not aware of the benefits of making an R&D claim, it’s highly likely that you could be about to lose thousands of pounds – the average claims we see are in excess of £67,000!
Why does having a December year-end matter?
R&D tax relief can only be claimed two years from the end of your accounting period. Once your business enters a new tax year, you are no longer eligible to claim for any projects that took place more than two years previously. Research carried out by Catax found that although around 800,000 of businesses likely to eligible for R&D tax relief, just 8% are claiming it.
What activity qualifies for an R&D claim?
R&D tax relief is awarded to businesses that invest in innovation. This activity can be in the form of developing new systems, processes, products, materials, devices, or any changes to the way your business works -the chances are your business is doing R&D without even realising! You would be surprised at what qualified for R&D, with eligible activity happening across every industry. HMRC actively encourages businesses to claim as innovation creates a healthy economy, so there isn’t any reason not to try it!
What about property Capital Allowances and Remediation of Contaminated Land?
Commercial properties with unclaimed qualifying plant and machinery relief could be worth thousands in Capital Allowances to owners or occupiers. We have helped clients claim for properties including club houses, offices and surgeries, receiving an average of £53,000 in Capital Allowances tax relief. Remediation of Contaminated Land tax relief offers additional relief for money spent by companies removing harmful contaminants from land and buildings such as Japanese Knotweed from golf courses. So, whether you are investing in innovation or a property owner, we can help you unlock the embedded cash in your own company or property without incurring additional debt with speed and certainty, reducing your business risk.
How do I make a claim?
Tax law can be complicated; at Catax, we are an industry-leading tax consultancy who specialise in these areas of tax relief. We work with you and your accountant to maximise your return on investment with minimal impact on your time. We break down the claims process for you, so all you need to do is provide us with some details, and we’ll take care of the rest. There are no complicated forms to fill out, no legal language to unpick and no tax law to get your head around. We have a team of over 100 in-house experts which includes Surveyors, Tax Technicians, Accountants, Report Writers and Case Managers who manage the process for you. There are many reasons why Catax is considered an industry leader for tax relief. We have been helping clients secure tax relief for over 12 years, with a team of highly experienced staff whose experience is comprehensive and covers all industries. We are trusted partners with many of the UK’s top accountants, solicitors, the Law Society, ICAEW and IFA amongst other industry bodies. So far, we’ve helped thousands of businesses claim back money from HMRC, securing over a quarter of a billion pounds in tax relief for our clients.
Let’s get started!
If you have a December year-end, the deadline for starting this process is fast approaching. To find out whether you can make a claim, please contact Catax on 0300 303 1903 , or email enquiries@catax.com for a free consultation.