At Shorts we follow a two stage approach to Patent Box tax relief, which allows companies to quickly and easily make a decision whether to claim this potentially valuable relief.
Since its introduction in 2013, Patent Box tax relief has been claimed by a significant number of UK businesses. However, many companies that could benefit from this valuable relief remain reluctant to make a claim, for fear that the process will be costly or time consuming.
The potential benefit of claiming relief is often difficult to predict before a full detailed claim is prepared. This can put companies off making a claim, for fear of incurring large professional fees for little or no return.
However, our Radius team have designed a simple two stage approach, which makes it easier for businesses to make a claim. For a small initial outlay, companies are able to consider the potential benefit of Patent Box by undertaking a quick and simple appraisal, before making the decision to press ahead with a full detailed claim.
Our simple two stage approach is:
- Appraisal – By gathering a few pieces of key information, we are able to undertake an appraisal of the potential benefit that could arise from a claim. Whilst the appraisal is only an estimate, for a small initial outlay in time and cost it allows companies to decide whether to press ahead with a full claim.
- Claim – If the initial appraisal indicates a claim is worthwhile, our specialist advisors can then be engaged to undertake a full detailed claim. We work with the business’ finance team to collect the information that we need, and pull together a detailed report which confirms the final claim.
Businesses often wish to undertake the initial appraisal before progressing to stage 2. However, where a company is confident that a claim is worthwhile, we can commence with the full claim at stage 2.
By splitting the process into two stages, we are able to undertake a quick and simple initial appraisal of the benefits, which allows companies to make the decision whether to invest further time and resource into a full claim.
By splitting the process, we have enabled some businesses to make a claim where they were previously reluctant to do so. Many of these business have been surprised by the process, which is not as difficult as they first thought.
If you would like to understand more about Patent Box tax relief, or would like to speak to one of our Radius team about how your business could benefit, please get in touch.
