R&D Tax Credit

The R&D Tax Credit was first introduced in 2004 to stimulate innovation, economic growth, productivity and job creation. Latest figures show that approximately 1,500 companies are claiming the R&D Tax Credit each year, many receiving the benefit by way of a cash refund. A wide range of industry sectors are represented in the claims made, including:

 

 

 Biotechnology 

 

 Electronics 

 

 Software Development      

 

 Manufacturing

 

 Lifesciences

 

 Agriculture

 

 Food & Drink

 

 Energy

 

The R&D Tax Credit is in the first instance available as an offset against the company’s corporation tax liability. Where the tax credit exceeds the company’s current and prior year corporation tax liabilities, the excess can be claimed as a cash refund (subject to certain limits).

 

Key Features of the R&D Tax Credit

  • The tax credit is calculated at 25% of a company’s qualifying expenditure on R&D
  • It is used in the first instance to offset the company’s corporation tax liabilities. Where an excess remains (e.g. the company is loss making), the tax credit can be received as a cash refund
  • The claim must be made within 12 months of the end of the accounting period in which the expenditure is incurred
  • Grant aided activities can be included in an R&D Tax Credit claim to the extent that expenditure on the activities exceeds the grant amounts receivable
  • It may be possible to surrender part/all of the tax credit to “Key R&D Employees”
  • Companies that are post-incorporation but pre-trading can avail of the tax credit on pre-trading R&D expenditure to offset future corporation tax liabilities
  • A separate tax credit is available for capital expenditure on buildings and structures to be used for R&D.

 

About Us

SciMet R&D is the leading, Irish owned, independent R&D Tax Credit consultancy. The company was founded on a simple principle – to consistently deliver exceptional service and value to R&D performing companies in claiming their full and proper R&D Tax Credit entitlement.

We achieve this by delivering the perfect blend of science, technology, tax and accounting expertise. The R&D Tax Credit is unique in that it combines a science test with an accounting test. SciMet R&D is unique in the Irish market in the value we bring to our clients in meeting both tests.

At SciMet R&D we are truly passionate about science and technology. It motivates us to be able to play a part in the exciting research and development being carried out by our clients.  Our tailor-made R&D Tax Credit services deliver efficiencies, robustness and cost effectiveness that facilitate our clients in doing what they do best – innovate.

Our Address:
Guinness Enterprise Center
Taylor's Lane, Dublin 8, IrelandGuinness Enterprise Centre