An International engineering, process design expertise and separation solutions company has enjoyed a tax refund of £52,000 following a claim for Research & Development.
Zeta-pdm Ltd, with a turnover in excess of £3million, were recommended by Stockport-based Hallidays to reduce their corporation tax by claiming for R&D expenditure.
Like many businesses, the company were unaware of their R&D entitlement when submitting their accounts and subsequent Corporation Tax payment, reducing the opportunity to reinvest in the business.
Philip Eagle, tax specialist and director at Hallidays explains: “Their accountant and board had limited experience in this field and were uncertain whether any expenditure qualified for tax relief.
“It is not uncommon for a company to need guidance to identify the key financial information and to produce the case and supporting evidence. We then were able to deal with any queries arising from HMRC”.
Following a retrospective review, Hallidays identified qualifying R&D expenditure of just over £200K.
As a result, the company received a refund in excess of £52k for a two-year tax period which has been re-invested in the business to aid future growth.
Stephen Turner, managing director of Zeta-pdm said: “We were liable to pay corporation tax at the full rate, we had never claimed relief for R&D until Hallidays advised us to do so.
“They worked closely with us, providing the specialised support to prepare the claim and to resolve queries.
“We were very pleased to be able to re-invest the 52k tax refund into growing the business”.