皇冠体育app

皇冠体育app Government has today published consultation documents on the Patent Box and Research and Development (R&D) tax credits as part of it鈥檚 plans to make the UK鈥檚 tax system the most competitive in the G20 and to make the UK the best place in Europe to start, finance and grow a business.

皇冠体育app Patent Box will apply a 10% corporation tax rate to profits attributed to patents from April 2013.听 皇冠体育app document published today consults on detailed proposals for the Patent Box鈥檚 implementation, and gives more information about which patents and associated intellectual property types and what income will be eligible.

皇冠体育app proposals published today in the R&D tax credits consultation will further simplify the scheme by, among other things, changing the rules to extend the credit so that the costs of more contract workers qualify.听

皇冠体育app Government is also to pilot a process that will allow small companies and start-ups to find out what projects will qualify for the credit at an early stage in their development to assist in planning.听 皇冠体育app Government would like to explore further with companies the evidence base for moving to an 鈥榓bove the line鈥� credit.

David Gauke, Exchequer Secretary to the Treasury, said:

This Government is committed to putting in place the most competitive tax system in the G20 and we particularly want to make the UK an attractive location for innovative industries. 皇冠体育app Patent Box and R&D credits help us create the best possible environment for this.听 We welcome responses to both of these consultations from industry and from tax professionals.

Through both of these measures, the Government aims to support innovation and productivity in the UK and allow companies which further these to prosper.听 With the Patent Box, the Government aims to provide an incentive for companies in the UK to retain and commercialise existing patents and to develop new innovative patented products.听

This will encourage groups to locate the high-value jobs associated with the development, manufacture, and exploitation of patents in the UK; and maintain the UK鈥檚 position as a world leader in patented technologies.

皇冠体育app R&D tax credits consultation document also includes the Government鈥檚 response to its previous consultation on R&D credits, the submissions to which were considered by the Government when putting together the measures announced at Budget 2011.

Notes for Editors

1. 皇冠体育app Patent Box consultation document can be found听in our consultation area under 听

2. 皇冠体育app consultation closes on 2 September 2011. Responses should be sent to [email protected] or CT Reform, Corporate Tax Team, HM Treasury, 1 Horse Guard鈥檚 Road, London, SW1A 2HQ.

3. 皇冠体育app Government鈥檚 previous consultation on the Patent Box ran from 29 November 2010 to 22 February 2011. Details can be found in our consultation area under .听听

4. 皇冠体育app R&D tax credits consultation document can be found in our consultation area under .

5. 皇冠体育app consultation closes on 2 September 2011. Responses should be sent to [email protected] or R&D Tax Credits Reform, Excise and Enterprise Tax Team HM Treasury 1 Horse Guards Rd London SW1A 2HQ.

6. 皇冠体育app Government鈥檚 previous consultation on R&D tax credits ran from 29 November 2010 to 22 February 2011.听 Details can be found in our consultation area under听

7. By far the most significant response from large companies to the R&D tax credits consultation was a proposal to move from the current superdeduction to a system which reduced the company鈥檚 final tax liability, rather than its taxable profits. This was commonly referred to as an 鈥榓bove the line鈥� tax credit system.

Typically, this proposal was also backed up by a proposal that the credit could be offset against other taxes (or 鈥榩ayable鈥� as the SME credit is) where the company did not have sufficient corporation tax to benefit immediately from the credit.

Non-media enquiries should be addressed to the Treasury Correspondence and Enquiry Unit on 020 7270 4558 or by e-mail to [email protected]

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