Member Article

Architects must apply for R&D credits

The Royal Institute of British Architects (RIBA) is encouraging architects to apply for R&D tax credits, amidst concerns that many are missing out on thousands of pounds for their work.

The R&D tax credit scheme has paid out nearly £6 billion in tax relief to 24,0000 companies since it was introduced in 2000, and recent changes mean that SMEs could see a return of up to £25 for each £100 spent since 1 April 2012.

RIBA Head of Technical Research, Anne Dye said: “It is important that architects realise that work which is part of their day-to-day activities could actually fall under the heading of R&D for tax purposes.

“This guide encourages more architects to explore the possibility of claiming tax credits.”

In 2008-9 the average claim for R&D was £40,000, raising to an average of £82,000 for those who had claimed regularly in the past.

In a new guidance document, “UK Research and Development Tax Credit Scheme - a guide for architects”, RIBA have illustrated how many architects who carry out research and development work on an informal basis or part of a fee paid job may not realise they can claim relief on corporation tax.

Chair of the RIBA Research and Innovation Group Professor, Murray Fraser added:“British architecture depends on investment in R&D to keep it at the forefront of the profession worldwide.

“In the current climate, support for practices who undertake R&D is more important than ever, as are initiatives which attract more architects to the tax credits scheme.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .