ICAEW.com works better with JavaScript enabled.

Patent Box

Are you prepared for the future of patent box relief? Find out about the changes for claims made from 1 July 2021.

The patent box tax relief regime enable profits made by companies using patented technology to be taxed at the lower rate of 10% instead of the main rate of corporation tax. The original rules introduced in 2013 were met with challenge from the OECD, requiring the government to amend the legislation from 2016 onwards. However, the 'new regime' was subject to grandfathering provisions that enabled existing claimants to remain under the 'old regime' until 30 June 2021. Following that date, the new rules apply to both existing and new claimants.

The new rules require all claimant companies to track income, expenditure and R&D investment in greater detail than under previous rules. As such, additional considerations are required to ensure that the necessary information is available at year end to prepare the necessary calculations. In addition, the 'nexus' principle must be applied, which requires an R&D fraction to be added to the calculation, and potentially additional streaming of patent income and expenditure, depending on the claimant's existing circumstances.

Presented by Graham Steele and Will Rainford of RSM, and available exclusively to Tax Faculty members, this webinar covers:

  • A recap on the patent box regime.
  • The key differences between the old and new patent box regimes.
  • The steps that may be required for companies to track and trace profit and R&D expenditure for claims from 1 July 2021 onwards.

Live broadcast 26 August 2021

Join the Tax Faculty

We have more than 8,000 members and 130 active volunteers - many well known in the tax world - who help us with our work. We provide expert analysis and practical guidance for tax practitioners via our monthly magazine TAXline, regular webinars and a range of online and downloadable guides. Why not join us?

Join now