Construction projects encounter a host of complications that are often considered routine or “nothing new”. The resolution of these challenges typically requires non-standard technical approaches, to successfully reach completion.
The R&D scheme is subsequently in place to reward the efforts dedicated to overcoming these constraints, by reducing your corporation tax liability.
Despite the immense financial benefits, the last decade has seen only 3% of all construction companies take advantage of this lucrative relief.
This slow uptake is likely the result of a lack of thorough understanding of the scheme, but also down to inapt guidance regarding qualifying activities.
However, construction sites encounter unique hindrances, which naturally require innovation to resolve, or attempt to.
The identification of qualifying R&D activity is often very subjective; and requires specialist interpretation to pinpoint. Nevertheless, the construction life cycle can generate a full spectrum of advancements from developing new methodologies, adapting atypical technologies or improving existing processes, whilst remaining both cost and regulatory compliant.
In the past year, the government has paid out around £400 million for those in the Construction industry. In terms of the amount you can expect to get back, it completely depends on your size and projects, and it only takes a short conversation with us to provide you with some indication.
The biggest factor in determining claim size is if you are a smaller or larger company; the smaller companies could expect to receive around £55,000, whereas the larger ones claimed an average of £315,000.
To see how much you can expect to claim, contact us.
Please get in touch and a member of our team will get back to you.