Mark Eade highlights the tax incentives available for
fast-growth businesses.
It's generally accepted that young, dynamic, fast-growing
businesses are driving economic growth in the UK. So, what are the
tax reliefs available to entrepreneurial businesses, their owners
and investors?
R&D tax credits
A significant research and development (R&D) tax relief is
available to companies engaged in creative or innovative work in
the field of science and technology. R&D relief is, however,
not just restricted to science and technology businesses. It is
available to companies in virtually every industry undertaking some
form of innovation.
SMEs can claim a 225% tax deduction for qualifying expenditure
incurred after 1 April 2012. Even loss-making SMEs that have paid
no corporation tax can potentially claim a repayable tax credit.
From 1 April 2014 this credit is approximately 33% of the R&D
cost. Larger companies are currently entitled to a 130% deduction
on qualifying
