Tax tip of the month – Patent Box
There are many different tax reliefs out there, some of which have come in under the radar of the small business.
On 1st April 2013 the Patent Box regime came into effect and it could be a massive tax saver for the right company, but it seems to have been overlooked by many.
Under this regime profits from qualifying patent interests will be taxed at 10% ( instead of the usual 20% -current rate). The regime states that all profits from the sale of products containing even one item with a qualifying a patent would be taxed at that lower rate.
If you have any patents, have products or processes in development, or work on any innovative products – it is a well worth speaking to an accountant about this as the tax savings can be significant…. Do not miss out!