You’re not alone… It may be that you don’t realise you are doing activities that could qualify for research and development tax credits. Or maybe you just haven’t heard of them. Either way up to £7 billion pounds each year goes unclaimed by SMEs.
You’ll see below three project timelines; A, B and C. You have to think in terms of where in your project you have had difficulties in delivering a successful solution. This could be at any point. Whilst we’ve only shown three possibilities, for simplicity, there are a number of others as R&D can start or finish at any point in the project lifecycle.
In the case of ‘A’ – no troubles at all. The project runs smoothly and all the solutions to challenges you’ve had have been at hand. So, this project was pretty routine with no challenges.
When you started project ‘B’ you didn’t anticipate any problems but partway in you realised that your original solution might not work. To address this you had to do some additional work-eligible activity – to overcome the challenge before continuing the project.
Finally, when you started project ‘C’ you had no clear route to delivering what the client wanted and you couldn’t be sure until you’d finished the project that you had been successful.