I would like to clarify the position on a couple of issues touched on by Anthony Newgrosh in his article 'What a Relief! Research and development guidelines' published in The Tax Journal (Issue 1002 26 October 2009).
The building of prototypes
HMRC's position is that while the costs of designing developing or testing prototype equipment can be eligible for relief subject to satisfying the various conditions of the schemes the costs of constructing prototype equipment (for example assembly labour and raw material costs) can only be eligible if the equipment is constructed solely for use in R&D and not also for supply to a customer. Our concern is that production costs of goods for supply to a customer should be...
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I would like to clarify the position on a couple of issues touched on by Anthony Newgrosh in his article 'What a Relief! Research and development guidelines' published in The Tax Journal (Issue 1002 26 October 2009).
The building of prototypes
HMRC's position is that while the costs of designing developing or testing prototype equipment can be eligible for relief subject to satisfying the various conditions of the schemes the costs of constructing prototype equipment (for example assembly labour and raw material costs) can only be eligible if the equipment is constructed solely for use in R&D and not also for supply to a customer. Our concern is that production costs of goods for supply to a customer should be...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
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