Complementing R&D Tax Relief, the UK Patent Box is a generous tax incentive for the resultant products if they are patented. We can help you benefit from this valuable relief.
Patent Box is a generous tax relief that allows a company to reduce its Corporation Tax bill. This is achieved by creating a deduction from taxable profits related to the profits the company makes on sales of patented products, or products or services which incorporate a patent. The relief has been around since 2013, but the increase in the main Corporation Tax rate from 19% to 25% in 2023 has made this relief a lot more attractive. The patent must be granted in the UK or Europe to qualify.
In very simplistic terms, the relief is equivalent to a reduced Corporation Tax rate of 10% on eligible profit lines in the business – so with the main rate at 25% this is effectively a 60% reduction in tax liability on eligible profits.
Companies that might qualify for the Patent Box are recommended to seek specialist tax advice so that eligibility and appropriate planning may be considered. There are strict time limits and rules around electing in and out of the regime so obtaining early advice is crucial.
Although you cannot claim until a patent is granted, you can calculate and roll over your relief for the years while it is pending, ready to make a claim in the year of grant.
If you do not yet have a patent, we can recommend a good patent attorney who will be able to advise you on the process and steps involved.
We can help you make sure your systems are in place to track profits, as well as collating information and making the claims on your behalf.
For more information read this article –>
When our initial accountants could not deliver the independent assessment work on the grant claims quickly enough for our requirements, we approached Randall & Payne and have received regular and timely support for our grant audits ever since. We have benefited from significant R&D support and efficient accounting services from Randall & Payne, who have been supportive, responsive and proactive as the business and technology has flourished.
It was such a relief to find Rachel a few years ago after the accountant we had used for many years retired. We feel confident that Rachel has our best interests at heart.
James Geary has assisted me with planning a number of corporate restructures both for my business and for a few of my clients. He has the ability to consider the goals of all concerned to come up with a solution which not only works for everyone, but maintains tax efficiency and has always managed to secure the necessary advance clearance from HMRC without any hiccups. Very responsive and thoroughly recommended.
We had a great end of year meeting with Will and Andrew which included discussions and advice about new ideas going forward – it’s always pleasing to see progress year on year. We value their assistance and support, knowing they are always in the background and on the end of a phone or email when required. With their wealth of experience and all the latest tax advice, their service is essential for our ongoing success and development as a business.
The team helped select case studies to best illustrate the research and development elements of what we do and assisted at every stage of making a submission. I can’t recommend them enough.
I’d like to say a big thank you to Shaun Pegler and the team at Randall & Payne for always being there and for the invaluable support they give to me and the Applied Change team. They regularly go above and beyond and recently have delivered quickest turn round in year-end accounts so far, including an R&D tax credit. In my case, they haven’t just talked about clients’ success they have actually delivered it, time and time again and in all areas of finance, from tax to payroll to year-end and now book-keeping too. Thank you all and looking forward to continuing to raise the bar together!
We instructed James Geary at Randall & Payne to redistribute some shares for our small business after finding him through one of his blog posts. Not only did he advise us on what we needed in a clear and simple way, he answered all our questions quickly and in a friendly, non-condescending way. The price was very reasonable for the service we received. James went above and beyond, and even liaised with our accountant on our behalf. We would recommend Randall & Payne, and especially James for his knowledge and professionalism, and the ease of working with them.
Randall & Payne have been our accountants, auditors and financial advisors for well over 25 years and continue to be a trusted partner. They act quickly and efficiently, covering all aspects of the fiscal side of our business, including administering our payroll, looking after our tax affairs, year-end accounting and financial planning. As we look to the future, we are happy in the knowledge that Randall & Payne will be working with us to face the challenges ahead.
I wasn’t aware of R&D before engaging with the firm and they guided me through the process brilliantly, extracting the right information and presenting it in a way that was successful. Nothing was too much trouble, even jumping on a screen share with my current Accountant to do things I don’t need to understand! Was delighted with the service as well as the lovely refund we received, and will happily (and frequently do!) recommend them to anyone!
I have been a client of Randall & Payne’s for many years now, both for personal and company accounting services, and I cannot fault them. The firm is excellent across the spectrum, from business leadership coaching and financial planning to practical tax advice. I feel I know the advisers personally now and am always met with the same level of professionalism and friendliness. Even when I feel I may be asking very ‘simple’ questions, they still make me feel valued.
Officeworx Ltd have been using the services of Randall & Payne for 25 years. In this time, they have supported us with everything from our standard year-end accountancy through to business advice, consultancy, acquisitions and mergers. They have experts for every requirement and offer a wide range of services. With the team at Randall & Payne behind us, we can get on with doing what we do best – running our business.
The Partners and team at Randall & Payne simply gave us what we needed to turn our plans into reality. We are excited about the future and are already working with them on the next three-year plan.
