Without doubt, the UK’s R&D Tax Relief system is one of the most attractive in the world.

The fact that any limited company developing new products, technology or processes may be eligible and can claim for up to two accounting years retrospectively, sounds straightforward enough.

It is a tax relief scheme, designed as an incentive for companies developing new technology – the more qualifying development work a company does, the greater the relief it can get from its Corporation Tax bill. It’s not unusual for claimed expenditure to run into hundreds of thousands of pounds, with tax relief typically in excess of £30,000 being realised.

Loss making companies can also benefit (in terms of a ‘credit’) which can be of particular importance to early stage businesses.

As companies can prepare and submit their own claims, surely it can’t be that difficult?

The meaning of R&D in the context of R&D Tax Relief is not, however, straightforward and wider than most companies realise. In fact, it’s not limited to the R&D department. HMRC defines R&D as work that achieves a scientific or technological advance when scientific or technological uncertainty exists.

This can include achieving an increase in overall scientific or technological knowledge or capability; significantly improving products, processes, materials or services through scientific or technological development; or using science or technology to duplicate the effect of an existing product or process in a new or appreciably improved way.

Even though you, the company ‘owner’ or director, might feel you can identify your R&D projects better than anyone else, scoping them in the context of the R&D Tax criteria is not that simple. In short, it’s not always possible to see the wood for the trees. For instance, a whole project might not qualify but the element addressing the ‘technological uncertainty’ does. That can include planning and managerial activities in some instances.

To be sure your claim is justifiable and as beneficial as it can be, your company must fully understand the detail of the HMRC guidelines. That’s a 15-part manual to digest - and then you’ll need the time, financial and technical expertise to define, quantify and support a claim.

You could be put off by now. Or you could treat R&D Tax Relief as you would legal or tax challenges - seek advice from an expert.

MSC R&D lives and breathes R&D - 25 years’ experience in supporting companies in funding, resourcing and exploiting R&D means that we have an unprecedented knowledge and understanding of the R&D Tax Relief process – that knowledge can help uncover additional qualifying expenditure. The result could be a claim value being increased by up to 50%.

Our team of accredited, qualified technologists and financial experts have specific experience across a wide range of sectors, so we match the right technical expertise to your business and work with your technical and finance teams and accountant to achieve the maximum eligible benefit from R&D Tax Relief.

‘Fast track blitz’ processes and methodologies minimise the impact on your time and obtain optimum results for you. Normally our analysts only require one day on site.

To support our claims, our in-depth analysis is compiled into a highly detailed report with a breakdown of your entire R&D expenditure. This report not only provides concrete evidence for your claim, but also acts as a valuable resource for project managers, directors and shareholders alike.

Our clients often find that our objective, expert evaluation and broader experience in supporting technology companies can fundamentally change the way they look at and approach their R&D strategy going forwards.

For more about MSC R&D and its services, visit www.mscrnd.com

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The Portergate, Ecclesall Road, Sheffield, S11 8NX

Tel No. 0114 230 8401