This means that a business spending £100,000 on research and development activity will be able to recover £32,625 from HMRC.
This change seems to be firmly aimed at innovative, early stage and small companies that are yet to see a payback from their research and development activities, as part of the Government's aim to reward the 'makers and the doers'.
If you can demonstrate that you are investing in developing new products and processes or enhancing existing ones then you are likely to be eligible for R&D tax credits. And the increase in benefit for companies yet to show a profit could be a significant boost to your cash flow.
To find out if your business might be eligible to apply for R&D Tax Credits, call Clayton & Brewill on 0115 950 3044 or drop us an email.