The much anticipated Patent Box legislation is now live from 1 April 2013 giving the potential for UK companies to pay corporation tax at a rate of only 10% on worldwide profits derived from patents. This can halve the rate of tax paid by those companies.
The Patent Box is generous in its scope. A wide range of patents qualify including those granted by the UK and EU Patent Offices. The patents can cover products or processes. Amazingly, it is possible for both a licensee to claim as well as the patent holder.
Those that already have patents need to be able to understand how their profits derive from it. Those who have historically never patented should reconsider given the potential tax benefits at stake. Those who license in patents which are incorporated in their products should consider the relief also.
Download our flyers to read more and find out if you could be eligible.