Claiming R&D tax credits in the Software industry?

The software sector has benefitted significantly from the R&D incentive and it remains one of the sectors with the highest volume of claims made per year. According to Revenue’s annual R&D stats, information and communication companies made almost 14,000 claims during 2018-19 and were awarded almost £1.4 billion from Revenue.

Whilst thousands of software companies take advantage of the R&D tax credits scheme, every year there are thousands of business owners that miss out on claiming what their company is entitled to. Ensure your business is utilising the R&D incentive and is claiming your cash award.

Whilst some business owners don’t claim because they do not realise their company can qualify, others fail to claim because they think the process will be complex and lengthy. This can be true if you attempt to claim without the guidance of a specialist like randd. R&D tax credit submissions can be overwhelming and confusing, and maximising your reward can be difficult to achieve independently which is why experts like randd are here to help.

Randd works with clients to maximise the outcome of their R&D tax credits claims. Since starting in 2008, we have maintained a 100% success rate, submitted over 3000 claims on behalf of our clients, and secured over £150 million from Revenue. We stay up to date with changing R&D legislation and maintain a strong relationship with Revenue so we always know how to win the most for our clients. We have industry specialists across many sectors and technical experts that can fully understand the details of our client’s R&D projects. From the initial consultation with our R&D consultants to submitting your financial information, formulating your technical reports and tax calculation, we have professionals with decades of experience to oversee each step of the claim process.

Could your business be eligible without realizing it?

If your business has designed bespoke software projects, you could be eligible. Your claim will be constructed from the overhead costs associated with qualifying R&D projects. Some examples of qualifying R&D projects in the software sector are:

• Developing state-of-the-art software for new projects
• Extending the functionality of application software programs or operating systems
• novel data management techniques
• Developing innovative methods of capturing, transmitting, manipulating, and protecting data
• Finding means of integrating hardware and software platforms

For example, a recent claim for one of our clients saw them receive £28K from Revenue, making their total claim to date £263K. They work for contractors predominantly in the education sector and develop processes that combine data and produce reporting tools.

If you would like to inquire about your firm’s potential claim, contact our office today.

Gareth Smyth