With the Coronavirus causing cash flow issues for many, businesses have been increasingly looking towards the Government’s CBILS (Coronavirus Business Interruption Lending Scheme) initiative.
What many haven’t realised is that the receipt of CBILS counts as notified state aid. When assessing whether a business is eligible to claim SME R&D Tax Relief, it first must see if it has received notified state aid on the qualifying project.
Where this is the case, that project would no longer qualify for SME tax relief. Instead, the business would need to look at the RDEC scheme, which provides a lower rate of relief than the SME scheme.
Talk to us to see if this might affect any of your qualifying R&D projects.