PATENT BOX REGIME
Part 1: Getting a patent
-
Are you sitting on a brilliant idea but unsure if it can be patented? We can help you clarify the essentials of patent and support with a scoping report to hand to your patent attorney
-
Transform Ideas into Patents: To secure a patent, your idea must manifest as a tangible product or process. This can range from a sophisticated tool with moving parts to a newly synthesised compound. Our comprehensive patent scoping service will guide you through the intricacies of what constitutes a patentable invention, ensuring that your concept meets the criteria of novelty, utility, and non-obviousness.
-
Know What’s Not Patentable: It’s crucial to understand what cannot be patented—like mathematical formulas or natural phenomena. We also navigate the grey area of software, helping you determine if your software-driven idea qualifies for patent protection by producing tangible results.
-
Capturing the Essence of Your Invention: Our team will assist you in defining what makes your invention unique. By focusing on its functionality, materials, and intended use, we ensure your application stands out. Imagine having peace of mind knowing your invention is not just an idea but a well-defined concept ready for patenting.
-
Compliance for the Patent Box Regime: as well as gaining a patent, you need to ensure your activities are compliant and meet the requirements for the Patent Box Regime
-
Partner with a patent attorney: once you have the idea scoped out, If you wish to proceed with filing a patent application, we can introduce you to a trusted patent attorney. We have collaborated with this independent attorney for several years and we can provide a guide on their estimated fees for the patent application process. Note: We do not take any fee for this introduction, and there is no obligation to use our recommended patent attorney.
-
In a world where great inventions often stem from small, innovative tweaks, our patent scoping services are designed to uncover the potential of your idea, turning it into a viable patent application.
Part 2: Patent Box Services
-
Elect into the Patent Box regime: You can retrospectively make a patent box claim on your income stream and profits for items sold during the patent application process, however you have to elect into the regime to be compliant
-
Make a claim: Once your patent is granted, you should increase your profits by leveraging the Patent Box Regime. This unique tax relief program from HMRC is designed for companies that generate profits from patented inventions.
-
Reduce Your Tax Burden: By applying a lower rate of corporation tax to profits earned from your patented innovations, the Patent Box can significantly enhance your company’s bottom line. However, eligibility criteria must be met, including ownership of patents from recognised bodies like the UK Intellectual Property Office or the European Patent Office.
-
The Process: Through this process we can calculate a reduced corporation tax rate of just 10% on profits derived from qualifying intellectual property (IP). Our streamlined calculation methodology ensures you benefit fully from this tax incentive.
-
First, we identify the Relevant IP Income (RIPI) for each granted patent.
-
Next, we calculate your Apportioned Trading Profits by determining the percentage of income attributable to your IP.
-
From there, we assess the Routine Return Expenditure—costs not related to IP—to determine your Qualifying Residual Profit (QRP).
-
To fine-tune your calculation, we make necessary adjustments for Marketing Asset Returns and Nexus Fractions, ensuring your patent box benefit directly correlates to your R&D efforts. We also account for any accrued Relevant IP Profits during the patent-pending phase.
-
Finally, we compute your Patent Box Deduction using a formula to ensure you maximise your savings.
Are You Eligible? Our experts will assess your company’s qualifications for the Patent Box, ensuring you meet all necessary conditions. Whether you own or exclusively license patents, or have made significant contributions to the development of the patented invention, we’ll help you navigate the complexities to ensure you reap the benefits.
