United Kingdom Tax Agency Updates Guidance on R&D Tax Relief Under SME Regime

The United Kingdom HM Revenue and Customs Feb. 27 issued updated guidance on R&D tax relief for corporate intangibles under the small and medium-sized enterprise (SME) regime, to reflect recent First-tier Tribunal decisions. The updated guidance clarifies: 1) the meaning of subsidized expenditure and the required conditions for subsidized expenses that qualify for R&D tax relief under the regime, with lists of funding that is or isn’t considered a subsidized expense; and 2) the categories of qualifying expenses for subcontracted activities and the factors considered when determining whether activities were contracted to the company, with examples. [United Kingdom, Government Portal, ...