Market leading insight for tax experts
View online issue

How the UK patent box differs from overseas regimes

The UK’s proposed Patent Box legislation puts it on course to join a number of European territories that are favourably taxing certain intellectual property (IP) income. With such growing competition can the government achieve its objective of increasing innovative investment and activity or is the regime an expensive race to the bottom with other taxpayers left to pay?

In fact the UK proposals are very different from rival regimes. They may focus almost entirely on patents but it only takes one patented component to bring an entire product within the regime.

Also the 10% headline rate may be higher than some rivals but this applies to all profits arising from patents except brand related income and a 10% mark-up on some routine expenses. This is much broader than most other countries who narrowly attribute income to the patent itself.

It must be remembered...

If you or your firm subscribes to, please click the login box below:

If you do not subscribe but are a registered user, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this article in full.
Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.