Many people tend to put blind faith in their accountant to advise them on the subject of research and development tax. R&D tax R&D tax has been seen as a way to boost productivity the world over. But using an adviser should put a small business in the position that they gain all they can from it. However, unless your accountant specialises in this niche area, you may not get the answers you’re looking for. This article will delve into some of the questions that business owners should be asking their R&D tax advisor and what all of this means to your business.
Do you specialise in R&D tax credits?
There is no better place to start that to find out if your adviser is going to maximise your claim and get as much from the tax man as they can. Accountants might dabble in R&D tax credits or try to advise certain clients, but this isn’t the right approach at all. You should look for someone who does R&D tax – and nothing else. This way you will be with someone who can lend you their expertise.
What industries do you support?
The second question you should be asking your R&D tax adviser is which industries they work with. Understanding what you do is crucial to being able to help you with a claim. For instance, if you work in the software industry there are specific parts of your business that won’t be easily understood by anyone that doesn’t have past exposure to it. You should find an R&D tax adviser that specialises in your sector for the best results.
Do you charge up front?
Like many industries, there are different pricing structures and ways of paying. And each R&D tax adviser has a different way of working. We recommend that you look for an adviser that doesn’t charge un up front fee. This is for 3 reasons –
- You want them to be motivated to follow up your claim
- There are many great companies out there that don’t charge an upfront fee
- Your money is valuable
So, make sure this is one of the questions you ask.
How long have you been doing this?
There are many new entrants to the R&D tax credit arena, as accountants and others see a quick buck. Of course, these are the people to avoid. Making a claim should be done by a professional, competent adviser. And the best way of seeing how they will deal with your claim in the future is to see how they have performed in the past. Using software or trying to learn ‘on the job’ will never trump experience.
What is your success rate with the HMRC?
Now we get to the nitty gritty! You really want an R&D tax adviser that has a great success rate with the tax man. If they only get half of their claims through with a successful result, for example, then you might want to think twice about using them. The best companies have a 100% success rate with the HMRC and, obviously, these are the ones you want to have a chat with.
What support do you offer?
The last thing you want here is for an adviser to submit a claim to the tax man and leave it all to you. There are so many things going on in your business that we’re sure you don’t have the time to become an expert in tax as well. As your adviser how much support they will offer you. You want someone who will be with you from beginning to end. Of there are questions to answer from the HMRC then you want your adviser to take care of these too.
Time to speak to Lumo
Have you heard of Lumo? They are the R&D tax experts that will help you submit a claim with the minimum of fuss. They live by the principles of support, honesty and expertise. In fact, you will find that they –
- Specialise ONLY in R&D tax credits
- Support a wide range of industries
- Charge no upfront fees
- Have been helping UK business with their R&D tax credits for years
- Have a 100% success rate with the tax man
- Take care of the claim from start to finish
Look to LUMO as a company that’s with you from beginning to end.