Patent Box

From April 2013, companies are able to pay a lower rate of corporation tax on profits from patented inventions.

The company must own or exclusively license-in the patents and must have undertaken qualifying development on them.

There will need to be an election to benefit from the reduced rate of corporation tax that applies to the Patent Box. This can be done in the computations accompanying the company tax return or separately in writing.

Starting from April 2013, the corporation tax for qualifying small companies will be 14% (instead of 20%). The rate will fall each year, to 10% from April 2017 for all qualifying companies. 

If you would like to discuss the scheme and how to make a claim, please do contact us