I.T AND SOFTWARE
The integration of new Software & IT technology into another industry sector is considered an eligible R&D activity e.g.:
• robotics being programmed for use in extreme environments
• bespoke apps to track our wellbeing & connect the user to medical advice
• augmented reality (AR) & virtual reality (VR) being used for training purposes
• artificial intelligence (AI) & machine learning algorithms being used to analyse video data of railway infrastructure to identify structural changes
When considering the work that Software & IT developers undertake, the following are examples of eligible R&D activities:
• System feasibility
• Creating algorithms
• Bespoke metric analytics
• Custom databases or CRM’s
• Development of automated testing software
• Bug fixing – which required further testing and development
If your business is developing something new and is an advance in overall knowledge in a field of science or technology, then it’s highly likely that you should be claiming R&D Tax Relief. HMRC Statistics for R&D Tax Credit claims shows that the Information & Communication sector has the second largest number of claims overall, with the average claim for an SME business being over £57,000.