WestWon CEO Jeremy Hall writes about R&D Tax Credits and why the business has taken advantage of these credits recently.
“Over the last few months, I finally took action on an issue that has been bugging me for a few years. R&D Tax Credits.
Like many of my associates, colleagues, and clients, I’m the type of businessman that has my focus on ‘the business’ and though I’ve seen the words and even read the reports I sort of never got past the ‘that would be nice?’ stage of taking action.
I do not know why exactly. Perhaps it was the ‘that will never apply to me!’ perspective we all seem to carry around. Followed swiftly by ‘It will be more hassle than it’s worth!’ and then maybe a bit of ‘How would I do this to the best effect and with minimum pain and avoiding hassle from HMRC?’.
Sure, I had briefly discussed it with my accountant, but my accountant was more focused on my accounts than this rather niche area of Tax Law. It always felt more as if I was discussing a leg amputation with my GP. He kind of was interested but didn’t really focus in this area and was happier when we moved back onto VAT receipts.
Well, this year all that changed. I discussed the issue with a friend of mine who focuses on this subject as his core business activity. A discussion with him quickly cleared up the concerns I had and showed me a clear way to move this forward.
So what happened next?
Once the decision was made to go ahead there was a little upfront work. A little thinking and focus. Working through a little detail. During this process I was able to claim back for two previous years (pre my current financial year). Remarkably quickly that effort dissipated, and the additional work was completed for me.
And then, shortly afterwards, the first rewards were heralded. For the first year of my claim, I received a ‘significant’ credit from HMRC. Then I submitted my second-year claim and can expect a very healthy cheque for that.
But perhaps the most important part of this experience was that I have gained the confidence to invest more in in my business, knowing that my activities are qualifying for R&D Tax Credits. That quite literally means that my ability to invest in building my business is significantly increased going forward.
These benefits were achieved by working with a specialist in the area. Someone who deals with R&D Tax Credits on a week in, week out basis and recognises which activities qualify for a claim, understands the intricate expenses levels that can be claimed and most importantly submits them to HMRC with the guarantee there will be no ‘blow back from HMRC’ (questions or even investigations) that they will not manage for you (as long as you are honest with them).
My recommendation? Get in touch with a true specialist. I used and would high recommend Richard Roy of ZLX Ltd (www.linkedin.com/in/richard-a-roy). Thanks for reading and hopefully you can make the most of R&D Tax Credits like we have.”