What do sex toys, architects and vineyards have in common?
18/12/2019 - RIFT research
They are all sectors that could be claiming for Research and Development Tax Credit, according to R&D specialists RIFT Research and Development Ltd.
While growth in R&D tax relief claims has increased by 35% annually since inception in 2001 to over £4bn last year and has already returned £26bn in total tax relief to businesses across the nation, the scheme is yet to be fully utilised.
Introduced by the Government, it encourages scientific and technological innovation across a plethora of UK business sectors. But while RIFT has worked with some of the more traditional companies to have made the most of it, in areas like construction, manufacturing, business and finance, they believe many are still failing to take advantage of the financial benefits and have highlighted some of the more unusual work that could qualify.
Architecture
Architects are often presented with issues when planning whether it be social or environmental and the engineering or technology-based advancements made to overcome these can often qualify as R&D.
Some examples of architectural practices that may fall within the R&D framework include designing bespoke features, testing and prototyping, improving energy efficiency, adapting practices when working on heritage or listed structures, tackling acoustic issues, new thermal or lighting requirements and seeking BREEAM, Passivhaus or LEED certification.
Catering
Catering is home to a whole host of R&D opportunities including work that makes innovative use of the effects of preservatives, increases a product’s nutritional value, helps increase the shelf life of a product, changes the flavour of an existing product, or even the texture or form. For example, advancements in liquid-based breakfast items.
This also includes work on reducing allergens and additives or even the processes, techniques, equipment and ingredients used, whether it be a commercial kitchen or an industrial food production unit or factory. One recent area where plenty of work would qualify is the production of gluten-free food and developing this offering across a wide variety of products that weren’t available before.
Car Manufacturer and Dealers
At times, nontechnical activities can qualify, including areas such as the design of a car’s shape should the manufacturer be able to demonstrate advancements in aerodynamics, performance or fuel consumption.
Even the more day to day tasks of re-designing your showroom CRM system to make the day to day running of your site more efficient can qualify.
Clean Tech
Clean tech is perfect for R&D Tax Relief and if you aren’t claiming you’re missing out. But you don’t have to be designing carbon-neutral products in a lab, even driving innovations in areas such as recycling, renewable energy, solid waste management, or sewage treatment could see you qualify.
Sex Toys
Believe it or not, the sex industry is consistently producing pioneering work that would easily qualify under the R&D tax relief framework. Whether it is a new technology, stimulation technique, material or even the way these products are made, any and all new advancements tend to be leading innovation in the sector.
Football Clubs
Yes, football clubs. Largely due to the advancements being made within the performance departments on a medical basis. This can include nutritional plans, rehabilitation methods and activities, research and information into specific injuries, all of which can help reduce the time a player is unable to play and the speed and the quality of their recovery.
Vineyards, Breweries and Distilleries
Increasing output while maintaining standards and costs has seen many companies producing wine, beer or spirits carry out R&D-worthy work. Again, removing additives or preservatives can advance a product, or by increasing alcohol content, creating new processes to help scale up productivity or even experimenting with new materials to develop unique flavours for sale to the industry.
Director of RIFT Research and Development Limited, Sarah Collins commented:
“Research and development is happening in every corner of British business but many are failing to recognise that the work they are doing qualifies. We’ve highlighted just a few of the more unusual, but if you’re doing something different to advance your business or product, why not get all the help you can and claim some financial relief on the costs incurred to develop these advancements.”
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