For those companies that are unaware of the R&D tax credit submission rules, a company may submit an R&D claim up to two years after an accounting period year-end.
In a nutshell, whether you are a start up, an established SME or Large company that has not claimed for the December 31, 2018 accounting period and / or want to review the original 2018 claim submission to determine if R&D expenditures have been missed, the time to do so is now!
We have approximately four weeks until year end and RDP Associates has the capability to facilitate and complete your R&D claim(s) prior to the end of the year. Part of this process will include RDP communicating and working with your accountant to ensure submission takes place on time.
Given what has occurred in 2020 with COVID-19, many companies have suffered a reduction in revenues or furloughing of staff, so every pound counts to ensure your company is prosperous in the future. We are advising all our clients and contacts that continued R&D activities is not just an option anymore but a requirement.
If you have furloughed staff in 2020, the likelihood of having a reduced R&D tax relief benefit for 2020 is high. While the holidays are near, RDP’s process would require only a few short meetings at most to prepare and complete your claim(s). Our reputation with HMRC is excellent as RDP distinctly showcases how our clients meet the R&D tax credit criteria.
For those SMEs that are unaware, the R&D tax credit programme is not limited to profit-making companies. In many cases, loss making SME companies have a higher cash return of up to £0.33p for every £1.00 of R&D expenditure in comparison to a profit-making company that has a benefit of £0.25p on an R&D expenditure.
What do you have to lose by taking an hour or two at most for RDP to complete your 2018 claim? Take full advantage of the programme to request cash to reinvest back into the company or reduce your corporation tax bill.
From the most recent statistics supplied by HMRC, SME’s are averaging £63,000 in R&D tax benefits. Whether you met or exceed this average, a tax benefit for your company is a tax benefit. These benefits may also assist your company in Q1 of 2021.
Are you concerned with one of the following when it comes to submitting an R&D claim?
- Not having the resources to do so yourself
- Concerns about HMRC and enquiries
- Eligibility Concerns.
If you lack the resources, RDP can easily help you from start to finish, taking less than a few hours of your total time, without any prior preparation.
If you have not submitted R&D claims due to fear of an HMRC enquiry, part of RDP’s services includes defending your claim. In addition to this, HMRC, in April of this year, confirmed that they are dedicated to processing claims in a more timely fashion due to COVID-19.
If eligibility is a concern click on the link following to confirm eligibility and, if you pass the test, you can also determine your estimated range of tax benefits R&D Tax Relief Eligibility | Is Your Business Eligible?
Please reach out to us so that we can discuss RDP’s holistic approach to our services, how we differentiate from large tax and audit firms who claim they are experts, and ensuring your claims are filed with minimal time prior to the end of the year.