Following the announcement at the end of last year the Government has now launched the consultation into the replacement of the current Large company R&D tax relief scheme with an above the line tax credit.
Remember that SMEs as well as large companies claim the large company relief, so any company that claims the relief needs to understand the implications of this. The changes will affect accounting periods beginning after 1 April 2013.
The change is a major one which potentially radically impacts on the measurement of accounting profit, taxable profit and the effective tax rate. In addition large companies without taxable profits will be able to obtain a cash credit from HMRC.
Please click the link for an overview of the changes proposed and the potential impact as well as details of how to take part in the consultation process. Above the line credit for research and development.
If you would like to discuss the application of this, or any other aspect of the R&D tax relief, to your
company then please do not hesitate to contact John Moore on 0207 292 8850 or
at john.moore@kinglybrookesllp.co.uk
About Kingly Brookes
Kingly Brookes is a firm of chartered accountants based in Cambridge and London specialising in working with technology companies to optimise their claims for R&D tax relief. We combine a deep technical knowledge of the working of the two schemes together with a practical hands on approach to claim preparation proven to optimise your claim potential and ensure certainty over your claim outcome.
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