Research and Development (R&D) tax reliefs
Research and development (R&D) tax reliefs support companies that work on innovative projects in science and technology.
Types of R&D reliefs
There are different types of R&D relief depending on the size of your company and whether the project has been subcontracted to you or not:
- small and medium-sized enterprises (SME) R&D relief
- research and development expenditure credit for large companies
Not all R&D projects qualify for R&D tax relief.
What projects count as R&D?
The work that qualifies for R&D relief must be part of a specific project to make an advance in science or technology. It must also relate to your company's trade - either an existing one or one that you intend to start up based on the results of the R&D.
To get R&D relief you need to explain how a project:
- looked for an advance in science and technology
- had to overcome uncertainty
- tried to overcome this uncertainty
- couldn't be easily worked out by a professional in the field
Your project may research or develop a new process, product or service or improve on an existing one.
Find out more about research and development tax reliefs.