Project
A client implemented innovative manufacturing techniques and recipes at their custom development kitchen, made an R&D claim for their development work. We assisted them to secure a £74,000 R&D tax credit and as their development work has continued we will be able to achieve tax credits in future years too. As well as the R&D claim we have also assisted the company with a significant corporation tax loss carry back under the newly implemented extended loss carry back rules from 1 April 2020. The loss carry back amounted to a £42,000 corporation tax refund.
Outcome
Both the R&D tax credit and the loss carry back are significant cash contributions to the company in a sector where cashflow is critical. The tax credit has allowed the company to continue re-investment, grow and expand as a result. We achieved a successful loss carry back to three years earlier, whilst also accounting for a demerger in this period.