Learn more about Patent Box Tax Relief
What is the Patent Box Tax Relief scheme?
Patent Box is a part of the Government’s growth agenda, which is associated with the financial incentive to develop and commercialise innovative technology in the UK.
The Patent Box scheme is one of the tools deployed by the Government to encourage businesses to invest in innovation, providing tax relief to innovative businesses holding qualifying IP rights, or an exclusive IP license.
What is a Patent?
A patent is a license (a legal document) which gives the owner exclusive rights to make, use or sell the innovation, preventing others from exploiting their unique concept for a defined period, usually 20 years; the prevailing legislation governing patents may vary significantly in different countries.
To be granted a UK patent your innovation must be novel, involve an inventive step and have an industrial application. You can gain a patent for a product, a process or a product-by-process.
How much is the Patent Box scheme worth?
In the UK, Patent Box Tax Relief enables claimants to reduce their corporation tax liability of profits generated by patented products / processes to just 10%. Therefore, when looking to make a Patent Box claim, it’s important to choose a service provider, such as Innovation Tax, who can work with you to fully evaluate the maximum value to which you’re entitled.
If I already have a Patent, how can I claim Patent Box Tax Relief?
If you already hold patents, or have an application pending, why not contact Innovation Tax to find out more about the benefits available under the Patent Box legislation?
At Innovation Tax our team of experts are on hand to work with you to identify the profits attributable to any qualifying products or processes and will then work hand-in-hand with your accountant to ensure the benefits of your considerable efforts crystallise in a reduced tax liability.
HOW CAN WE HELP?
Innovation Tax offer a comprehensive range of IP services including the Patent Box which is closely linked with R&D Tax Credits, enabling many of our clients to maximise their tax relief by claiming across both schemes; whilst also commercialising their IP, and potentially increasing company valuation.