Knowledgebank: Rates & Charges

Rates and Charges, R&D Tax Credits, Research and Development

Certain rates and charges apply when a company is looking to make its claim for the R&D tax credits. A company should be well informed about what they stand to get in tax credits and how much money they will be spending on charges.
Here you will find answers to your questions regarding rates and charges.

Rates for R&D Tax under SME scheme

Different companies are bound to get different credits under the SME scheme. Your company’s corporation tax total amount is the main determinant of the R&D tax rate and ultimately how much credit you will be awarded. Another crucial determining factor impacting the credit rate is whether the company made a profit or a loss.
For the qualifying research and development activities, small companies are offered a maximum of 33% tax relief. This is the same as getting £33 for each £100 spent on qualifying projects.

Rates for R&D Tax under RDEC scheme

Research and Development Expenditure Credit – RDEC is a scheme aimed at offering tax relief to eligible large companies. Here tax credit is available to companies at 11%. First, the corporation tax is deducted and you are left with a smaller amount on which the R&D tax credit is calculated.
A company acquires R&D tax credits of 10 Pounds for every 1 Pound they spent on Research and development projects. Unlike the SME scheme, whether the company made a profit or a loss has no impact on the rate of R&D tax credit.

Note that R&D tax credits scheme on both schemes is inclusive of costs on;

  • Staffing
  • Subcontracting
  • Consumables
  • Utilities
  • Materials
  • Isolated software

How much will we charge you?

We have a company policy that keeps us from charging you before your R&D tax claim is successful. We work on a completely risk free basis. We do not discuss charges up until you have the money in your hands. The fee you give us is meant to facilitate the entire service, which is unique to each company’s needs.

It includes,

  • Identifying, preparing and submitting your R&D tax credit claim to HMRC on your behalf
  • Consultation services regarding grants, research and development tax credits, among other issues (optional)

Contact Us

Reach out to we have a team of enthusiastic tax experts to further explain rates and charges as they apply to your company.

We will help you calculate the exact benefits you are entitled to acquire by forwarding the R&D tax credit claim.
We also have an onsite claim form available for you to complete so that we can get started quickly.