Invest, Claim, Grow. R&D Tax Credits made easier.

Your ideas have the power to shape the world, and we're here to empower them! Kickstart your journey towards success by harnessing the full potential of our simple R&D claim process.

1000+

Happy clients

£83m+

Retrieved for our clients so far

2400+

R&D claims submitted

    How do R&D Tax Credits work?

    You can apply for R&D tax credits to claim cash refunds from HMRC or enjoy corporation tax reductions on qualifying R&D expenditures if your business is engaged in:

    Developing new or improved products, processes, services or even the advancement of existing ones

    Overcoming technical challenges or uncertainties to achieve scientific advancements

    Investigating and experimenting
    throughout the process

    Qualifying R&D activities vary based on your industry, which is why we recommend you to discuss your potential claim with us, so you don’t miss out on the incredible opportunity of R&D tax credits. The dynamics of these activities may vary based on the industries considering the broad horizons of R&D.

    What are R&D tax credits at a glance?

    The R&D tax credits are governmental incentives formulated to encourage and support R&D activities carried out by businesses operating within the UK. The initiative by the UK government was first introduced in 2000 to encourage small and medium-sized companies to invest more in R&D activities. A separate scheme known as the Research and Development Expenditure Credit (RDEC) was introduced in 2002 for large companies. R&D tax credits and RDEC serve as unmissable opportunities for businesses to take their endeavours much further, fueled by financial support. You can enhance your operations while alleviating concerns about the cost.

    Permitted purpose

    The R&D activities conducted with the aim of enhancing the performance, reliability, quality and functionality of a product or software.

    Technological uncertainty

    The unpredictable results that may arise during the development of a product or software, including the associated processes.

    Process of experimentation

    The need for a trial-and-error phase with the intention to overcome technological uncertainties.

    Technological in nature

    The R&D activities must fall within the domains of engineering, physical sciences, biological sciences, and computer science.

    What counts
    as R&D?

    Qualifying activities for R&D look different across industries. To ensure eligibility for R&D tax credits, you need to follow a four-criteria model, known as referred to as the four-part test. This model offers a more precise perspective and helps determine whether you qualify for the tax credits.

    What are qualifying R&D expenditures?

    The expenses involved while carrying out R&D activities and achieving innovations is known as Qualified Research Expenses (QREs). Most of these costs fall under the category of R&D expenditures, which include staff PAYE costs/pension contributions, subcontractors’ costs, consumables, software purchases, travel costs, and utility bills.

    Eligible

    • Subcontractors costs
    • Consumables & Utility bills
    • Software purchases
    • Travel costs
    • Staff PAYE costs/Pension contributions

    Not Eligible

    • Production costs
    • Distribution costs
    • Rents
    • Purchase of land
    • Patent creation (fee)

    Transparency at your fingertips with the R&D tax credit calculator

    Don't leave your qualifying R&D costs on the table! Get an instant estimate for your claim and secure the R&D tax credits you're entitled to.

    Find out your entitlement

    Which R&D tax credit scheme
    is right for your business?

    Can't decide which scheme is right for your business? It's a tough choice indeed, but hey, finding the right scheme for your business is like finding the key to success – and with SME or RDEC, you've got two golden options!

    Small-medium enterprises (SMEs)

    The SME scheme is designed for small and medium size companies with

    • Less than 500 staff

    • Turnover under €100m

    • Balance sheet under €86m

    Learn more

    Large companies

    The Research and Development Expenditure Credit (RDEC) scheme is used by larger companies with

    • Over 500 staff

    • Turnover of €100m or more

    • Balance sheet of €86m or more

    Learn more

    How can we
    help you?

    We excel in effortlessly leading our clients through the intricacies of the R&D claim process, every single time. You’re supported by a dedicated team of R&D tax credit specialists. With unwavering dedication, we devote significant time to meticulously analysing each case and attentively listening to every detail, allowing us to adapt our approach accordingly.

    1000+

    Very happy clients

    No Win, No Fee

    Our success stories

    Don’t take it from us. The ultimate seal of approval, written by those who matter most - our satisfied customers!

    Our claim process

    Leave the complexities to us! Our R&D claim process is straightforward to follow. We guide you through each step, making it clear and transparent. No confusion, no hassle – just a smooth journey from start to finish, ensuring you receive the benefits you deserve.

    Your authorisation

    We'll gain your authorisation via our client instruction form/NDA. This will enable us to discuss your technical activity along with your current tax position.

    1

    Technical scrutiny

    We'll gather your P&L whilst facilitating your Technical Call. This will help establish if your case is plausible from a technical and financial perspective.

    2

    Information gathering & documents

    Provided our experts are happy your case will qualify, we will then gather all of the required technical information and financial documentation to support your case.

    3

    In-house compliance

    At this stage we'll run your case through a very stringent in-house compliance procedure prior to submitting your reports.

    4

    Application submission

    After a thorough review of your R&D claim, including the necessary documents, the application will be submitted to HMRC for processing.

    5

    Potential outcome

    Our team stays in constant dialogue with HMRCs offices and uses a very systematic approach to ensure there is minimal delay with your repayment.

    6

    Frequently Asked Questions

    The Government created the research & development legislation as an incentive to encourage businesses that are developing new or appreciably improving existing; products, processes, systems, and materials – anything that contributes to the growth of the economy.

    Whenever an application for an R&D claim is submitted, it is sent to the regional departments of HMRC, where it is scrutinized along with the submitted reports. The application is then evaluated to determine whether to approve, query, or reject the claim.

    In short, an accountant specialises in managing your accounts, whereas an R&D tax claim specialist is highly knowledgeable and skilled in identifying eligible R&D activities for tax credit purposes and can increase your chances of receiving benefits from your R&D claims.

    To elaborate further, assuming you have a qualified accountant, who handles everyday purchases and typically has a wide-ranging workload that includes managing your accounts and addressing general business matters.

    By contrast, R&D tax claim specialists focus exclusively on R&D applications, which means they stay up-to-date with new legislation, industry standards, and technological advancements. They pride themselves on their ability to develop technical narratives and financial reports that accurately reflect the rules and regulations established by HMRC’s Consumer Tax Act 2009

    As a result, they can support you through the R&D claim application process more efficiently than an accountant. Moreover, their knowledge of technical and scientific advancements is more comprehensive than that of an accountant.

    Yes!

    However, if you have already received a State Aid grant for your project, it’s possible that it could impact your claim. Therefore, it’s advisable to check with your grant provider.

    At Alexander Clifford, we understand that you want to invest in a service that will deliver results without breaking the bank. That’s why we’re proud to offer a ‘No Win, No Fee’ basis for all our services.

    After successfully identifying an R&D claim, we only charge 25% of your service entitlement, which is lower than the industry average. If we don’t identify an R&D claim, we won’t charge you anything at all. With our ‘No Win, No Fee’ approach, you can rest assured that your application is completely risk-free.

    That will completely depend on the situation and context of your company. Please explore other FAQs related to SMEs and Large companies.

    The amount you can claim for your R&D activities depends on the size of your company.

    • If you are classed as an SME, you can expect to qualify for relief of up to 33% of the total expenditure of your R&D activities
    • To be considered as an SME your company must have no more than 500 staff, a turnover of under €100 million, or a balance sheet of under €86 million.
    • Larger companies can effectively claim relief of up to approximately 10% of expenditure on R&D activities. However, the benefit they receive from the expenditure is also taxable. Businesses with a turnover of more than €100 million, or a balance sheet of over €86 million, and have more than 500 employees are considered large companies

    A technical narrative is a summary of your project’s scope and development, typically spanning two to five pages. It highlights any uncertainties or challenges encountered during the work. It is optional but provides an opportunity for you to explain your work to HMRC, adding value to your R&D claim.

    Get Started Easy steps, big returns