UK HMRC Updates Guidance on Research and Development Tax Relief for SMEs and the R&D Expenditure Credit

On 5 August 2022, UK HMRC published updated guidance on Research and Development tax relief for small and medium-sized enterprises and the Claim Research and Development (R&D) expenditure credit.

Research and Development tax relief for small and medium-sized enterprises

The SME tax relief allows companies to deduct an extra 130% of their qualifying costs from their yearly profit to make a total 230% deduction and to claim a tax credit if the company is loss-making, worth up to 14.5% o…