In computer software the advance is rarely implicit in the product. The advance comes not from the application layer, but from the technology layer. It is the science of technology that had to be advanced in order to develop the application that establishes eligibility as R&D.
R&D takes place within a computer software project that seeks to achieve an advance in computer science or information technology. An advance in computer science or information technology means an advance in overall knowledge or capacity in computer science or information technology. It is not an advance in a company's own state of knowledge or capability alone, except where the details of the advance are not available to the company due to proprietary considerations.
Usually an advance in a computer software project involves the search for new software constructs or new architecture techniques. If it is present an advance in a computer software project usually takes place at the algorithmic, design or architectural level. In order for an advance to take place the objective of the work must go beyond routine analysis, copying or adaptation of an existing software product or software process.
In computer software the advance is rarely implicit in the product. A new or improved management information system is not an advance in science or technology. The advance comes not from the application layer, but from the technology layer. It is the science of technology that had to be advanced in order to develop the application that establishes eligibility as R&D.
How Have R&D Tax Credits Boosted the Software Industry in Ireland? Read our blog to find out
Common examples of software development projects that may qualify for R&D tax relief include:
In terms of qualifying tasks, the following activities would be considered eligible for R&D tax credits:
In addition, certain indirect support activities may qualify for R&D tax relief, such as:
You can claim relief on 25% of on qualifying expenses. The main areas of costs that can be claimed are:
It is not uncommon for an R&D team to consist of many individuals from different parts of the business. Your R&D project team may include the R&D Manager, a Lead Developer, Engineers, Project Co-ordinators, Quality Control and Testing specialists, and Cost Accountants, as well as members of the senior management team.
By profiting from our specialist knowledge and experience, you can be sure of maximising your R&D tax relief claim. As a rule, Myriad Associates submit R&D tax relief claims that are up to three times higher than in-house prepared claims or those filed by generalist accountants.
We identify all your R&D activities
We capture all your R&D expenditure
We write your R&D technical reports
We submit your R&D Tax Relief claim
We work with Revenue to agree your R&D claim
With just two to three hours of your time we'll take care of your claim from start to finish
You can download our information sheets on R&D Tax Relief for Software Development Companies.
This R&D tax credits calculator estimates the amount of corporation tax savings you may be entitled to by making a claim for R&D tax relief.