Software

Software businesses that are solving technical challenges can potentially qualify for R&D Tax
Relief. This incentive can allow eligible businesses to claim up to 21.5% of their qualifying R&D
expenditure back, in the form of a cash injection from HMRC, or a tax reduction/refund.

 

The scheme rewards companies based on the qualifying cost categories, such as employee salaries, subcontractor and freelancer costs, externally-provided workers, cloud computing and software license costs.

 

Additionally, business can claim R&D for up to two years after the end of their respective accounting period. For example, a company with a December year-end can submit an R&D claim for the accounting period ended December 2023, as long as it is submitted before the end of December 2025.