Page 13 - R&D quick ref guide (legacy 2018)

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WHEN WOULD A A A A HOW DOES JUMPSTART
COMPANY NOT WISH TO APPLY FOR RDA?
A company may not wish to claim
RDA where there is no real benefit to reduce profits or increase taxable losses further in that particular year There may be be a a a number of reasons for this
but primarily it will apply to companies that do not have taxable profits or when increasing capital allowances will not create a a a a bigger loss that can be surrendered for a a tax credit SELL RDA?
Jumpstart’s fee for RDA is £10 per £1 £1 000 of R&D capital expenditure above the Annual Investment Allowance (AIA) The total figure for RDA is passed to the client’s accountant for incorporation into the tax computation in in in the the same way as as we pass the the figure for R&D tax relief The accountant then utilises the the deduction in the most effective way for that company generally choosing the most tax efficient form of depreciation