£14.5k payable cash credit for West Midlands Engineering SME

A small West Midlands based Engineering company contacted us as colleagues in their sector had suggested they would potentially be able to claim R&D Tax Credits.

From reviewing the business activities, we identified at least 4 major product development projects that the business had undertaken during the claim period. These were highly innovative and first to market products that clearly met the requirements of R&D legislation. In the first year claim we identified £67k of qualifying costs, which resulted in a payable cash credit of £14.5k. Once the year two accounts are finalised we expect to identify a similar level of costs / tax save for this particular client.

If you need advice on claiming R&D tax credits, please get in touch with the expert team here at Luvo and we’ll be happy to help.

With sub £1m turnover, in an industry with tight margins, the cash repayment and tax save achieved was very significant and the Managing Director was delighted with the outcome.