Can my business claim under the SME R&D tax credit relief scheme?
Your business may qualify for the SME scheme if it falls under one of the following conditions:
- Less than 500 staff
- A turnover of under €100m
- Or a balance sheet total under €86m
While this appears relatively straightforward, the SME status can be complicated if your company has external investors. These investors or shareholders can affect its SME status leading to the company being forced to claim under the less beneficial large company scheme. You may need to include the figures of connected companies and partner companies to work out if you are still considered an SME.
Additionally, a company cannot claim SME R&D relief if the project is already getting notifiable state aid or it has been subcontracted by another company. However, it may be able to claim the R&D Expenditure Credit (RDEC). This complication can lead to many errors in SME claims and we can help identify if you qualify for the SME scheme and review your claim.