[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"global":3,"entry:blog:r-d-tax-credits-uk":324},{"id":4,"documentId":5,"siteName":6,"organizationSchema":7,"contactEmail":13,"contactPhones":48,"address":49,"currencyRates":50,"createdAt":70,"updatedAt":71,"publishedAt":72,"logoDark":49,"logoLight":49,"nav":73,"footer":257},1,"ded2oyx8g005xuue0dkk17wm","Accountaire",{"url":8,"logo":9,"name":6,"@type":10,"email":13,"sameAs":14,"address":16,"@context":21,"legalName":22,"telephone":23,"areaServed":24,"knowsAbout":36,"description":46,"foundingDate":47},"https:\u002F\u002Faccountaire.com","https:\u002F\u002Faccountaire.com\u002Flogo.png",[11,12],"Organization","AccountingService","hello@accountaire.com",[15],"https:\u002F\u002Fwww.linkedin.com\u002Fcompany\u002Faccountaire",{"@type":17,"streetAddress":18,"addressCountry":19,"addressLocality":20},"PostalAddress","5 Davis Road, G-8, Shimla Tower","PK","Lahore","https:\u002F\u002Fschema.org","Accountaire (SMC-Private) Limited","+1-925-219-6399",[25,28,30,32,34],{"name":26,"@type":27},"United Kingdom","Country",{"name":29,"@type":27},"United States",{"name":31,"@type":27},"United Arab Emirates",{"name":33,"@type":27},"Canada",{"name":35,"@type":27},"Australia",[37,38,39,40,41,42,43,44,45],"Bookkeeping","Cloud Accounting","VAT","Payroll","Management Accounts","CFO Advisory","Xero","QuickBooks Online","Making Tax Digital","Modern remote accounting for ambitious SMEs. 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modern remote finance team for ambitious businesses across the UK, US, UAE, Canada and Australia.","© Accountaire (SMC-Private) Limited. All rights reserved.",[261,265,269],{"id":262,"label":263,"href":264,"badge":49,"external":79},2006,"Privacy","\u002Flegal\u002Fprivacy",{"id":266,"label":267,"href":268,"badge":49,"external":79},2007,"Terms","\u002Flegal\u002Fterms",{"id":270,"label":271,"href":272,"badge":49,"external":79},2008,"DPA","\u002Flegal\u002Fdpa",[],[275,291,304],{"id":276,"title":78,"links":277},91,[278,280,282,284,286,288],{"id":279,"label":83,"href":84,"badge":49,"external":79},1991,{"id":281,"label":40,"href":87,"badge":49,"external":79},1992,{"id":283,"label":90,"href":91,"badge":49,"external":79},1993,{"id":285,"label":94,"href":95,"badge":49,"external":79},1994,{"id":287,"label":98,"href":99,"badge":49,"external":79},1995,{"id":289,"label":290,"href":103,"badge":49,"external":79},1996,"Catch-up",{"id":292,"title":240,"links":293},92,[294,296,298,300,302],{"id":295,"label":26,"href":244,"badge":49,"external":79},1997,{"id":297,"label":29,"href":247,"badge":49,"external":79},1998,{"id":299,"label":31,"href":250,"badge":49,"external":79},1999,{"id":301,"label":33,"href":253,"badge":49,"external":79},2000,{"id":303,"label":35,"href":256,"badge":49,"external":79},2001,{"id":305,"title":306,"links":307},93,"Company",[308,312,316,320],{"id":309,"label":310,"href":311,"badge":49,"external":79},2002,"About","\u002Fabout",{"id":313,"label":314,"href":315,"badge":49,"external":79},2003,"Pricing","\u002Fpricing",{"id":317,"label":318,"href":319,"badge":49,"external":79},2004,"Blog","\u002Fblog",{"id":321,"label":322,"href":323,"badge":49,"external":79},2005,"Contact","\u002Fcontact",{"id":325,"documentId":326,"title":327,"slug":328,"excerpt":329,"body":330,"category":331,"author":6,"readingMinutes":332,"publishedTime":333,"updatedTime":334,"createdAt":335,"updatedAt":336,"publishedAt":337,"seo":338,"blocks":346},485,"ui0x3wcxrt2m4zmo0gca9j54","UK R&D tax credits: a guide to the merged scheme.","r-d-tax-credits-uk","A UK R&D tax credits guide for SMEs: what the merged scheme pays, which costs qualify, the claim notification deadline, and how to survive an enquiry.","\u003Cp>UK R&D tax credits are a Corporation Tax relief for companies resolving genuine scientific or technological uncertainty. Under the merged scheme, which applies to accounting periods beginning on or after 1 April 2024, qualifying expenditure earns a taxable 20 per cent above-the-line credit, worth around 15 pence in the pound after tax.\u003C\u002Fp> \u003Ch2>What are UK R&D tax credits under the merged scheme?\u003C\u002Fh2> \u003Cp>From 1 April 2024, UK R&D tax relief consolidated into a single \"merged scheme\" applicable to all companies regardless of size. The previous distinction between the SME scheme and the RDEC scheme is gone.\u003C\u002Fp> \u003Ch3>What changed\u003C\u002Fh3> \u003Cul> \u003Cli>\u003Cstrong>Single rate:\u003C\u002Fstrong> 20% of qualifying R&D expenditure for non-loss-making companies, paid as a tax credit reducing the Corporation Tax bill or refunded.\u003C\u002Fli> \u003Cli>\u003Cstrong>Loss-making \"R&D intensive\" relief:\u003C\u002Fstrong> Companies whose qualifying R&D expenditure exceeds 30% of total expenditure can claim under an enhanced regime, equivalent to a payable credit at 27% of qualifying expenditure.\u003C\u002Fli> \u003Cli>\u003Cstrong>Subcontracting rules tightened:\u003C\u002Fstrong> Where R&D is subcontracted, the customer (the one paying for the work) is the one who can typically claim, not the subcontractor doing the work. This is a significant change from the previous SME scheme and catches founders unprepared.\u003C\u002Fli> \u003Cli>\u003Cstrong>Overseas R&D restricted:\u003C\u002Fstrong> R&D conducted overseas generally no longer qualifies unless specific conditions are met (the work cannot reasonably be done in the UK due to geographic, environmental or regulatory requirements).\u003C\u002Fli> \u003C\u002Ful> \u003Ch3>What qualifies as R&D\u003C\u002Fh3> \u003Cp>HMRC's definition remains: work that \"seeks an advance in science or technology through the resolution of scientific or technological uncertainty\". This is a real test, not a formality.\u003C\u002Fp> \u003Cul> \u003Cli>\u003Cstrong>Qualifies:\u003C\u002Fstrong> Building novel software architectures, developing new algorithms, solving engineering problems with no off-the-shelf solution.\u003C\u002Fli> \u003Cli>\u003Cstrong>Doesn't qualify:\u003C\u002Fstrong> Standard web development, configuration of existing software, creative or design work without underlying technical uncertainty.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>The grey area is wide and many SMEs over-claim. HMRC has materially increased enquiry activity since 2023, with refund clawbacks routine. The right approach is conservative scoping plus a technical narrative that survives scrutiny.\u003C\u002Fp> \u003Ch2>What does HMRC require alongside an R&D claim?\u003C\u002Fh2> \u003Cp>Since August 2023, every R&D claim must be supported by an Additional Information Form (AIF) submitted to HMRC alongside the CT600. The AIF requires:\u003C\u002Fp> \u003Cul> \u003Cli>Senior officer responsible for the claim, named, not \"anonymous claimant\".\u003C\u002Fli> \u003Cli>Agent details, if an R&D specialist firm helped prepare the claim.\u003C\u002Fli> \u003Cli>Technical narrative describing the R&D projects, the scientific\u002Ftechnological uncertainty, and the advance sought.\u003C\u002Fli> \u003Cli>Detailed cost breakdown by qualifying category.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>The AIF is a deterrent to spurious claims and a useful structuring tool for legitimate ones. Done well, the AIF itself is the audit defence.\u003C\u002Fp> \u003Ch2>Which costs qualify for an R&D tax credit?\u003C\u002Fh2> \u003Cp>Six categories, and nothing outside them. This is the part clients most often get wrong, usually by including something reasonable that simply is not on the list.\u003C\u002Fp> \u003Cul> \u003Cli>\u003Cstrong>Staff costs:\u003C\u002Fstrong> gross salary, employer National Insurance and employer pension contributions, apportioned to the time each person spent on the qualifying project. Not dividends, and not the whole of a director's package by default.\u003C\u002Fli> \u003Cli>\u003Cstrong>Externally provided workers:\u003C\u002Fstrong> agency or umbrella staff working under your direction, generally restricted to 65 per cent of the payment where the provider is unconnected.\u003C\u002Fli> \u003Cli>\u003Cstrong>Subcontracted R&D:\u003C\u002Fstrong> under the merged scheme the company that decided the work should happen is normally the claimant, not the supplier carrying it out.\u003C\u002Fli> \u003Cli>\u003Cstrong>Consumables:\u003C\u002Fstrong> materials, water, fuel and power physically used up in the R&D. Not consumed, not claimable.\u003C\u002Fli> \u003Cli>\u003Cstrong>Software, data licences and cloud computing:\u003C\u002Fstrong> including the compute and storage used for the qualifying work.\u003C\u002Fli> \u003Cli>\u003Cstrong>Payments to clinical trial volunteers,\u003C\u002Fstrong> which matters to a narrow set of life sciences claimants.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>Overseas expenditure is largely excluded now. Work carried out outside the UK qualifies only where the conditions genuinely cannot be replicated here for geographic, environmental, social or regulatory reasons. Cost is explicitly not one of those reasons, which ended a great many offshore development claims. The detail sits in HMRC's \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fhmrc-internal-manuals\u002Fcorporate-intangibles-research-and-development-manual\" rel=\"noopener\" target=\"_blank\">Corporate Intangibles Research and Development manual\u003C\u002Fa>.\u003C\u002Fp> \u003Ch2>How much is a UK R&D tax credit claim actually worth?\u003C\u002Fh2> \u003Cp>Worked example, illustrative rather than a real client. A profitable software company with taxable profits of £400,000 spends £250,000 on qualifying R&D: three developers at £70,000 fully loaded working 80 per cent on the project, plus £40,000 of cloud compute and licences.\u003C\u002Fp> \u003Ctable>\u003Ccaption class=\"sr-only\">How much is a UK R&D tax credit claim actually worth?\u003C\u002Fcaption> \u003Cthead>\u003Ctr>\u003Cth>Step\u003C\u002Fth>\u003Cth>Calculation\u003C\u002Fth>\u003Cth>Amount\u003C\u002Fth>\u003C\u002Ftr>\u003C\u002Fthead> \u003Ctbody> \u003Ctr>\u003Ctd>Qualifying expenditure\u003C\u002Ftd>\u003Ctd>Staff £210,000 plus software and cloud £40,000\u003C\u002Ftd>\u003Ctd>£250,000\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Merged scheme credit\u003C\u002Ftd>\u003Ctd>20% of qualifying expenditure\u003C\u002Ftd>\u003Ctd>£50,000\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Corporation Tax on the credit\u003C\u002Ftd>\u003Ctd>25% main rate, since profits exceed £250,000\u003C\u002Ftd>\u003Ctd>£12,500\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Net cash benefit\u003C\u002Ftd>\u003Ctd>Credit less tax on it\u003C\u002Ftd>\u003Ctd>£37,500\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Effective rate of relief\u003C\u002Ftd>\u003Ctd>Net benefit over qualifying spend\u003C\u002Ftd>\u003Ctd>15%\u003C\u002Ftd>\u003C\u002Ftr> \u003C\u002Ftbody> \u003C\u002Ftable> \u003Cp>Loss-making companies sit differently. Where qualifying R&D expenditure is at least 30 per cent of total expenditure, Enhanced R&D Intensive Support is available instead, and the payable credit is worth materially more, up to roughly 27 pence in the pound of qualifying spend. Payable credits are also capped at £20,000 plus three times the company's PAYE and National Insurance liability for the period, which is the rule that catches companies whose developers are contractors rather than employees.\u003C\u002Fp> \u003Ch2>When do you have to tell HMRC you are claiming?\u003C\u002Fh2> \u003Cp>Before you claim, in most cases, and this deadline has already cost companies their entire relief. For accounting periods beginning on or after 1 April 2023, a company that has not claimed R&D relief in the previous three years must submit a \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Ftell-hmrc-that-youre-planning-to-claim-research-and-development-rd-tax-relief\" rel=\"noopener\" target=\"_blank\">claim notification to HMRC\u003C\u002Fa> within six months of the end of the period of account. Miss it and the claim is invalid, however good the underlying science.\u003C\u002Fp> \u003Cul> \u003Cli>\u003Cstrong>Claim notification:\u003C\u002Fstrong> within six months of the end of the period of account, for new and returning claimants.\u003C\u002Fli> \u003Cli>\u003Cstrong>Additional Information Form:\u003C\u002Fstrong> submitted before or with the CT600, on every claim without exception.\u003C\u002Fli> \u003Cli>\u003Cstrong>The claim itself:\u003C\u002Fstrong> within two years of the end of the accounting period, made in the Corporation Tax return.\u003C\u002Fli> \u003C\u002Ful> \u003Cp>The practical consequence is that R&D planning belongs in month nine of the financial year, not in the week the CT600 is due. We raise it at the year-end planning meeting for every client with a plausible claim, and we tell the ones without a plausible claim that they do not have one. HMRC's full guidance for smaller companies is published in its \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fcorporation-tax-research-and-development-tax-relief-for-small-and-medium-sized-enterprises\" rel=\"noopener\" target=\"_blank\">R&D tax relief guidance\u003C\u002Fa>.\u003C\u002Fp> \u003Ch2>How do you survive an HMRC R&D enquiry?\u003C\u002Fh2> \u003Cp>Enquiry activity has risen sharply since 2023 and the clawbacks are real. Three things decide the outcome, and none of them can be assembled after the letter arrives.\u003C\u002Fp> \u003Cp>First, contemporaneous records. A technical narrative written eighteen months later from memory reads exactly like one written eighteen months later from memory. Project notes, sprint tickets, failed approaches and the dates they were abandoned are worth more than any amount of polished prose.\u003C\u002Fp> \u003Cp>Second, an honest boundary. The advance sought has to be in the field, not in your company. Building your first API is not an advance in computer science, however hard it was for your team. The uncertainty has to be one a competent professional in the field could not readily resolve.\u003C\u002Fp> \u003Cp>Third, a named senior officer who can actually answer questions about the science. The Additional Information Form requires one, and HMRC does ask. A claim prepared entirely by an external adviser whose narrative the finance director cannot defend is the profile that goes badly.\u003C\u002Fp> \u003Cp>Our position, which not every firm will print: if a project needs a persuasive write-up to look like R&D, it is not R&D. We would rather file a smaller claim that survives than a larger one that gets clawed back with interest and a penalty. The claim work runs through \u003Ca href=\"\u002Fservices\u002Ftax-vat\">our UK Corporation Tax and R&D claims service\u003C\u002Fa>, alongside \u003Ca href=\"\u002Fmarkets\u002Fuk\">UK-specific tax planning\u003C\u002Fa> for the wider position.\u003C\u002Fp> \u003Ch2>Why your Corporation Tax band changes what the claim is worth\u003C\u002Fh2> \u003Cp>An R&D credit is taxable, so the rate you pay decides what the relief is really worth. Since 1 April 2023, UK Corporation Tax has operated on three rates, published by HMRC in its \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fcorporation-tax-rates\" rel=\"noopener\" target=\"_blank\">Corporation Tax rates guidance\u003C\u002Fa>:\u003C\u002Fp> \u003Ctable>\u003Ccaption class=\"sr-only\">Why your Corporation Tax band changes what the claim is worth\u003C\u002Fcaption> \u003Cthead>\u003Ctr>\u003Cth>Taxable profit\u003C\u002Fth>\u003Cth>Effective rate\u003C\u002Fth>\u003Cth>Mechanism\u003C\u002Fth>\u003C\u002Ftr>\u003C\u002Fthead> \u003Ctbody> \u003Ctr>\u003Ctd>Up to £50,000\u003C\u002Ftd>\u003Ctd>19%\u003C\u002Ftd>\u003Ctd>Small Profits Rate\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>£50,001 to £250,000\u003C\u002Ftd>\u003Ctd>~26.5% on the marginal slice\u003C\u002Ftd>\u003Ctd>Marginal Relief\u003C\u002Ftd>\u003C\u002Ftr> \u003Ctr>\u003Ctd>Above £250,000\u003C\u002Ftd>\u003Ctd>25%\u003C\u002Ftd>\u003Ctd>Main Rate\u003C\u002Ftd>\u003C\u002Ftr> \u003C\u002Ftbody> \u003C\u002Ftable> \u003Cp>The middle band is the source of most confusion. Marginal Relief tapers the difference between 19% and 25% across the £50k–£250k profit range, but the way it works mechanically means the marginal rate on profits in this band is actually \u003Cem>26.5%\u003C\u002Fem>, not 25%. This is the structural quirk that surprises operators, and HMRC publishes a calculator with its \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fguidance\u002Fcorporation-tax-marginal-relief\" rel=\"noopener\" target=\"_blank\">Marginal Relief guidance\u003C\u002Fa>.\u003C\u002Fp> \u003Ch3>How Marginal Relief actually works\u003C\u002Fh3> \u003Cp>You pay 25% on all taxable profits, then deduct Marginal Relief calculated as:\u003C\u002Fp> \u003Cblockquote>Marginal Relief = 3\u002F200 × (Upper Limit − Profits) × (Basic Profits \u002F Profits)\u003C\u002Fblockquote> \u003Cp>For a typical SME with no associated companies and no investment income, the simplified formula reduces to 3\u002F200 × (£250,000 − Profits). At £100,000 profit, Marginal Relief is £2,250, taking effective tax from £25,000 (25% × £100k) to £22,750. Effective rate: 22.75%.\u003C\u002Fp> \u003Cp>The reason the marginal slice attracts 26.5% rather than 25%: as profits rise within the band, Marginal Relief shrinks, so each extra £1 of profit is taxed at 25p plus a reduction in relief equivalent to ~1.5p more, making the marginal hit 26.5p in the pound.\u003C\u002Fp> \u003Ch2>The associated-company rule\u003C\u002Fh2> \u003Cp>Where two or more companies are under common control, the £50k and £250k thresholds are divided by the number of associated companies. So a company with two associates faces thresholds of £16,667 and £83,333, meaning the 25% rate kicks in much sooner.\u003C\u002Fp> \u003Cp>This catches more SMEs than you'd think. A founder with a UK Ltd, an SPV holding the family home, and a dormant company kept for branding reasons has three associates, and the trading company's tax bands are reduced 67%. Many advisers miss this, leading to under-provided Corporation Tax and unhappy HMRC enquiries. It is one of the first things we check for the founders described on \u003Ca href=\"\u002Findustries\u002Fstartups\">startup accountants for VC-backed founders\u003C\u002Fa> and \u003Ca href=\"\u002Findustries\u002Flandlords\">landlord and property SPV accountants\u003C\u002Fa>, because the family SPV is usually the associate nobody counted.\u003C\u002Fp> \u003Ch2>Other Corporation Tax planning items for 2026\u003C\u002Fh2> \u003Ch3>Full Expensing (FE) and Annual Investment Allowance (AIA)\u003C\u002Fh3> \u003Cp>Full Expensing, 100% first-year deduction for qualifying capital expenditure, is now permanent for companies. The \u003Ca href=\"https:\u002F\u002Fwww.gov.uk\u002Fcapital-allowances\u002Fannual-investment-allowance\" rel=\"noopener\" target=\"_blank\">Annual Investment Allowance\u003C\u002Fa> gives the same effect for unincorporated businesses, capped at £1m a year. For most SMEs investing in plant, machinery and equipment, this means deducting 100% of qualifying capex in year one. Plan major capex around year-end to optimise timing.\u003C\u002Fp> \u003Ch3>Patent Box\u003C\u002Fh3> \u003Cp>For companies generating profit from patented IP, Patent Box reduces the effective Corporation Tax rate on that profit to 10%. Underused by SMEs: election is required and a profit-attribution methodology must be applied, but for genuinely patent-protected revenue streams it's materially valuable.\u003C\u002Fp> \u003Ch3>Loss utilisation\u003C\u002Fh3> \u003Cp>Trading losses can be carried back one year (or three years for terminal losses) and carried forward indefinitely. With Corporation Tax at 25% on profits above £50k, the relief value of carried-back losses has increased, making it worth re-examining whether prior-year claims were optimised.\u003C\u002Fp> \u003Ch2>Year-end planning checklist\u003C\u002Fh2> \u003Cul> \u003Cli>Forecast taxable profit four weeks before year-end. Project which Corporation Tax band you're in.\u003C\u002Fli> \u003Cli>Review pension contributions, employer contributions to director pensions are Corporation Tax deductible and tax-efficient.\u003C\u002Fli> \u003Cli>Time discretionary expenditure to fall pre or post year-end based on which Corporation Tax position is preferable.\u003C\u002Fli> \u003Cli>Confirm R&D claim methodology if applicable. Engage an R&D specialist (or your accountant, if competent in R&D) by month nine of the financial year, and file the claim notification if this is a first claim.\u003C\u002Fli> \u003Cli>Review capital allowances on prior-year additions, were they claimed correctly?\u003C\u002Fli> \u003Cli>Confirm associated-company position. List all entities under common control with directors, including dormant ones, and check the register at \u003Ca href=\"https:\u002F\u002Ffind-and-update.company-information.service.gov.uk\u002F\" rel=\"noopener\" target=\"_blank\">Companies House\u003C\u002Fa>.\u003C\u002Fli> \u003C\u002Ful> \u003Cblockquote>The 25% headline rate sounds simple. The actual rate any specific UK SME pays (after marginal relief, associated companies, R&D credits, capital allowances, pension contributions and loss utilisation) is rarely a round number. Planning beats reacting.\u003C\u002Fblockquote> \u003Ch2>The bottom line\u003C\u002Fh2> \u003Cp>UK Corporation Tax in 2026 rewards thoughtful planning. Marginal relief is meaningful for SMEs in the £50k–£250k profit band. R&D credits are real cash for genuinely innovative businesses but the regime has tightened, claim conservatively, document properly. Associated-company rules catch more SMEs than they should. Year-end planning, properly done four weeks before year-end, is among the highest-return accounting activities a business can undertake. If you want that run for you, it sits inside \u003Ca href=\"\u002Fservices\u002Ftax-vat\">our UK Corporation Tax and R&D claims service\u003C\u002Fa>, with the wider position on \u003Ca href=\"\u002Fmarkets\u002Fuk\">accountants for UK SMEs\u003C\u002Fa>, board reporting through \u003Ca href=\"\u002Fservices\u002Fmanagement-accounts\">monthly management accounts\u003C\u002Fa> and, for companies with an investor to answer to, \u003Ca href=\"\u002Fservices\u002Fcfo\">fractional CFO services\u003C\u002Fa>. Software teams weighing up the claim alongside revenue recognition should also read \u003Ca href=\"\u002Findustries\u002Fsaas\">SaaS accountants\u003C\u002Fa>.\u003C\u002Fp> \u003Cdiv class=\"post-cta\"> \u003Ch3>UK Corporation Tax planning?\u003C\u002Fh3> \u003Cp>We prepare CT600 returns, R&D claims under the merged scheme, and quarterly tax-position reviews so year-end isn't a surprise. ACCA-qualified, HMRC Agent authorised.\u003C\u002Fp> \u003Ca class=\"btn btn-primary\" href=\"\u002Fcontact\" style=\"align-self:flex-start;margin-top:6px;\">\u003Cspan data-cta-copy=\"\">Book an R&D tax credit review\u003C\u002Fspan> →\u003C\u002Fa> \u003C\u002Fdiv>","UK · Year-end",11,"2026-05-20T00:00:00.000Z","2026-09-10T00:00:00.000Z","2026-06-01T17:04:33.613Z","2026-09-11T00:58:54.721Z","2026-09-11T00:58:54.809Z",{"id":339,"metaTitle":340,"metaDescription":329,"keywords":341,"canonicalURL":342,"ogType":343,"ogLocale":344,"twitterCard":345,"noindex":79,"structuredData":49,"ogImage":49},4460,"UK R&D Tax Credits: Merged Scheme Guide","UK corporation tax 2026, marginal relief band, R&D tax credit merged scheme, CT600 SME, corporation tax planning UK, R&D claims 2026","https:\u002F\u002Faccountaire.com\u002Fblog\u002Fr-d-tax-credits-uk","article","en_GB","summary_large_image",[347],{"id":202,"heading":348,"items":349,"__component":378},"Frequently asked questions",[350,354,358,362,366,370,374],{"id":351,"question":352,"answer":353},12525,"What counts as R&D for tax purposes?","A project that failed still qualifies. An abandoned approach is often the clearest evidence that the uncertainty was genuine, which is the opposite of how most founders read the rules. The boundary that does bite is timing. Qualifying work starts when you begin resolving the uncertainty and stops the moment it is resolved, so the tidy-up and the production rollout fall outside the claim.",{"id":355,"question":356,"answer":357},12526,"How much is an R&D tax credit worth?","Under the merged scheme, 20 per cent of qualifying expenditure as an above-the-line credit, which is itself taxable. For a company paying the 25 per cent main rate that nets down to about 15 pence in the pound. Loss-making companies whose R&D is at least 30 per cent of total expenditure can claim Enhanced R&D Intensive Support instead, worth up to roughly 27 pence in the pound.",{"id":359,"question":360,"answer":361},12527,"What is the claim notification deadline?","File it as soon as a project looks plausible. The notification is a short online form naming the officer responsible and summarising the projects, it costs nothing, and it commits the company to nothing later. There is no appeal against missing it, and the companies that lose the relief are usually the ones waiting for certainty about the science.",{"id":363,"question":364,"answer":365},12528,"How far back can I claim?","The window is statutory, so unlike many filing deadlines it will not be extended for a good reason. Before writing off an older period, check whether the company claimed at any point in the previous three years, and check any predecessor company as well. That history decides whether a notification was needed and whether the period is still open.",{"id":367,"question":368,"answer":369},12529,"Can I claim for overseas development work?","The restriction bites on subcontracted work and externally provided workers located abroad, so the real job is establishing where the people physically sat. Agencies routinely supply offshore staff under a UK contract. Ask before the claim is built, and keep the answer, because HMRC asks about the location of the work, not the invoice address.",{"id":371,"question":372,"answer":373},12530,"Who claims when R&D is subcontracted?","There is a get-out. Where the customer did not intend or contemplate that R&D would be needed to deliver what it ordered, the supplier who solved the problem can still claim. That turns on what the contract and the correspondence showed at the time, so put the technical risk in writing before work starts.",{"id":375,"question":376,"answer":377},12531,"Will an R&D claim trigger an HMRC enquiry?","One timing point gets missed: a payable credit landing in the bank is not approval. HMRC normally has twelve months from the filing date to open an enquiry into the return, and an amendment carries a window of its own, so money can be paid and later reclaimed with interest. Leave the cash where it is until then.","blocks.faq"]