In short, yes. The best thing to do is to figure out how much R&D you are doing, you should then be able to assign a proportion of your light, heat, water and power that was used for your R&D and amend your claim accordingly. 

One of the biggest portions of claims for the Research and Development tax incentive is circled around staff costs. Whether that might be people directly involved within the R&D or others who might be indirectly involved.

No, you do not need to create a new product to qualify for R&D Tax Credits. For example, if you tweaked a cleaning product which had an advancement, this could be claimed for the R&D incentive. Anytime you have attempted an advancement in the M&E sector, whether this worked or not, could still have the potential to be a qualifying activity.

In 2020, there were a staggering 11,895 claims processed by HMRC for the M&E Services sector, on average you could receive £50,021 for your successful claim based on current statistics.

With these stats, there has never been a better time to start your R&D Claim!

Where do we start? You can claim for:

• New machinery creation
• Innovating new tools
• A portion of your utilities bill
• Subcontractors (up to 65%)

Yes! You are able to claim for unsuccessful projects as this falls under the ‘uncertainty’ you faced during the Research and Development you undertook.

Examples of uncertainty for R&D are;

• Fixing an issue with machinery that does not meet your manufacturing requirements, however coming into an issue when doing so
• Managing environmental factors, decreasing your carbon footprint during your manufacturing process 
• Adaptations and amendments in current products and/or services that didn’t go as anticipated and still needs to be amended