R&D Tax Credits in IT & Software
If your business is involved in software development, there’s a great chance your innovation could benefit significantly from the government’s R&D (research and development) tax incentives. We have already helped so many SME’s grow in the IT & Software sector – so it’s time your business took advantage of this scheme!
What type of software projects can qualify for R&D Tax Credits?
- Development of new state-of-the-art software to assist with key operational tasks
- Design and development of ‘add-on’ tools or plugins to enhance the functionality of existing applications
- Implementation of extensions to existing database software or operating systems
- Research and development into innovative data capture methods
- Research and development into innovative data management techniques and representations
- Conducting feasibility studies for potential software ideas
- Analysis of new and competing technologies
- Product or software testing
- The creation of technical specs to underpin an R&D project
- Necessary training to support the use of R&D
Who qualifies for software development R&D tax relief?
Software is continually evolving e.g. a number of well-established branches continue to do so (AI, cloud, mobile) and new applications for software are developed (e.g. robots, augmented reality, IoT and others yet to come).
Any company that is developing software could qualify for R&D tax relief:
- Software development companies: Typically, a business that has teams of software developers to support other businesses in their software projects.
- Software houses: May create and iterate software, provide Software as a Service (SaaS), business tools or enterprise resource planning (ERP) systems.
- Businesses that develop software in-house: Any business that performs a bespoke software development project.
R&D software project and activity expenditure
Employed staff costs, e.g. gross salary, employer’s National Insurance and pension contributions
Subcontractors, agency staff and freelance professionals
Software licensing fees
Utilities and Consumables
Check out our R&D tax calculator
Work out how much your claim could be worth with our easy to use R&D tax credits calculator. Remember we can claim up to two years so make sure you don’t miss out on your innovation fund.
Want to know more? Contact our team today and see how much your claim could be worth!
Check out our existing projects
Even if your company has qualifying expenditure, it does not mean that you should just wing it when submitting your own R&D Claims – especially when submitting a large claim. Throughout this […]