SMEs will now find it easier to invest in research and development, thanks to a new government tax relief plan.
<
div>SMEs will now find it easier to invest in research and development, thanks to a new government tax relief plan.
The plan aims to increase the take-up of research and development tax relief by raising awareness of the relief among SMEs, and making it easier for them to apply.
It encourages SMEs to invest in new product development by reducing the amount of corporation tax paid on profits by offsetting them against any investment in research and development.
David Gauke, Financial Secretary to the Treasury, said research and development is crucial to the long-term development and growth of the UK economy.
“Over 15,000 SMEs claimed the relief in 2013, an increase of around 19% from the previous year, but we need to go further to support pioneering small businesses,” said David.
“That’s why we’ve published a document setting out our plans to increase awareness and make it easier for people to apply.”
Galahad Clark, CEO of Vivobarefoot, said his firm had claimed research and development tax relief for the last five years and, as a result, had become a market leader in innovation.
“It’s good to have the government support us against the biggest brands in the world on what we think is a very important social mission,” added Galahad.
Leave a comment