News – 08.10.24
Buzzacott advises Haines Watts North London on its sale to Duncan & Toplis
Discover how Buzzacott advised Haines Watts North London on its sale to Duncan & Toplis … Read more
Insight – 04.10.24
Autumn Budget: How could this affect your finances?
With the Autumn Budget fast approaching, many are concerned about the impact it may have on their finances. … Read more
Upcoming event – 07.11.24
VAT on private school fees webinar
Join us for an exclusive webinar on the new VAT policy for private schools. … Read more
Find us quickly
130 Wood Street, London, EC2V 6DL
enquiries@buzzacott.co.uk T +44 (0)20 7556 1200
The Chancellor made two announcements that will be of interest to businesses making R&D claims. Firstly, as highlighted in previous budgets, HMRC are introducing a PAYE cap for SME cash back claims starting on 1 April 2021. This cap kicks in for cash payments above £20,000 and limits the additional cash payment to three times the PAYE and employers NIC incurred by the claimant company. Our R&D tax team has a detailed insight available that will run you through the complexities of the proposed legislative changes.
The second proposal announced in the Budget is to conduct a consultation to review the effectiveness of the two R&D tax credit schemes. Those of you with long memories might spot that this appears to be a rerun of a very similar exercise undertaken by Phillip Hammond back in 2017. It is a positive sign that the current government is supportive of the R&D tax credit schemes and keen to ensure they are as effective as possible. Indeed our hope this time round is that the current government will be more open to suggestions from businesses to improve the scheme and will seek to make changes off the back of the consultation to ensure that the UK remains competitive against R&D schemes offered by other countries.
The Chancellor made two announcements that will be of interest to businesses making R&D claims. Firstly, as highlighted in previous budgets, HMRC are introducing a PAYE cap for SME cash back claims starting on 1 April 2021. This cap kicks in for cash payments above £20,000 and limits the additional cash payment to three times the PAYE and employers NIC incurred by the claimant company. Our R&D tax team has a detailed insight available that will run you through the complexities of the proposed legislative changes.
The second proposal announced in the Budget is to conduct a consultation to review the effectiveness of the two R&D tax credit schemes. Those of you with long memories might spot that this appears to be a rerun of a very similar exercise undertaken by Phillip Hammond back in 2017. It is a positive sign that the current government is supportive of the R&D tax credit schemes and keen to ensure they are as effective as possible. Indeed our hope this time round is that the current government will be more open to suggestions from businesses to improve the scheme and will seek to make changes off the back of the consultation to ensure that the UK remains competitive against R&D schemes offered by other countries.
To contribute to the consultation and have your say in future design of the R&D tax credits scheme please get in touch and we will keep you up to date with the submission process.
We use necessary cookies to make our site work. We’d also like to set optional analytics and marketing cookies. We won't set these cookies unless you choose to turn these cookies on. Using this tool will also set a cookie on your device to remember your preferences.
For more information about the cookies we use, see our Cookies page.
Please be aware:
— If you delete all your cookies you will have to update your preferences with us again.
— If you use a different device or browser you will have to tell us your preferences again.
Necessary cookies help make a website usable by enabling basic functions like page navigation and access to secure areas of the website. The website cannot function properly without these cookies.
Analytics cookies help us to understand how visitors interact with our website by collecting and reporting information anonymously.
Marketing cookies are used to track visitors across websites. The intention is to display ads that are relevant and engaging for the individual user and thereby more valuable for publishers and third party advertisers.