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Debbie Hancock

Debbie Hancock

Owner of Southbourne Accountancy & Business Services

Finding R&D in Software (Yes even in Sports and Fitness)

Normally, when it comes to software, R&D is found in developing new techniques for building software and new software builds themselves – so your software development businesses. However, customisation of software to fit a business’s needs WILL also qualify where a technological advancement has been made for the industry. This takes R&D projects beyond the software sector, giving scope to every industry – even the sports and fitness industry. 

 

AM I ELIGIBLE TO MAKE AN R&D CLAIM? 

The key questions to ask yourself for any software projects are: 

Have you gone beyond “the norm” within your industry? 

This could be using new techniques, or re-thinking how something can be achieved because you were previously controlled by standard methods. For example, development of software capability to improve a system, enabling existing technologies to work together. 

Have you then experienced technical uncertainties and challenges in achieving what you have set out to do? 

Did you know how you were going to achieve the end goal when you started? Or was it uncertain because of the new or different way you were approaching it? It must not have been simply adapted from freely available knowledge. 

 

R&D SOFTWARE PROJECTS 

Here are some examples of software projects that qualify for R&D Tax Relief: 

  • new software projects, or new functionality for existing R&D projects 

  • methods for integrating hardware and software platform 

  • development to increase the functionality of software programs or of an operating system 

  • innovative software development tools 

  • new data management techniques 

  • methods of obtaining, transferring, securing and manipulating data 

  • software to operate new computer hardware 

  • software to operate on devices like mobile phones & tablets that have operating systems pre-installed 

  •  

Case Study: Academic software 

Continued development of an existing academic software application for students to access software across any device, from any location. Costs claimed were predominantly for professional staff, subcontracted developers and software licenses. 

Claim size £75K Corporation Tax Reduction from HMRC. 

 

Case Study: Catering & Hospitality Software 

A business invested in the development of a web and mobile application for a digital menu, ordering, and marketing platform. Costs claimed were predominantly for subcontracted developers, cost of supplies and software licenses. 

Claim size £8K cash refund from HMRC. 

 

Case Study: Restaurant & Takeaway Software 

A restaurant developed an application to consolidate social media and marketing platforms within the restaurant and takeaway industry. Costs claimed were predominantly for subcontracted developers. 

Claim size £35K Corporation Tax Reduction from HMRC. 

 

Case Study: Staff & Recruitment (indirect) 

A business developed existing software systems to advance the insight and operations of the business. Costs claimed were predominantly for professional staff and subcontracted developers. 

Claim size £7K cash refund from HMRC. 

 

Case Study: E-commerce (indirect) 

An e-commerce retailer, developed a specialist shipping integration software. Costs claimed were predominantly for professional staff and subcontracted developers. 

Claim size £7K cash refund from HMRC. 

 

If you think your business may be eligible to make an R&D claim then please get in contact and speak to our R&D specialist. A quick 10-15 minute call will determine whether the activities fall into science and tech and the size of the claim. 

What do you have to lose? 

 

 1. Book a call with me: https://southbourneaccountancy.co.uk/contact-us/ 

2. Download our free guide on “7 mistakes to avoid – to stop your fitness business running out of cash” https://southbourneaccountancy.co.uk/fitness-ebook/ 

3. Connect with me on social media: 

 

 

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