UK studios trying to make sense of the complex R&D tax credit system have been offered expert guidance from specialists Jumpstart – and UKIE members will receive a discounted rate on the service.
Edinburgh based Jumpstart can apply for R&D tax credits on behalf of game studios, and says it has a 98.6 per cent success rate on all kinds of claims it has made since it formed in 2008.
UK studio heads have previously told Develop the R&D tax credit system is prohibitively complex and ambiguous, and have been discouraged by the protracted nature of making and revising claims.
Jumpstart says it can do the heavy lifting for studios, and offers a “no-win no-fee” basis.
It takes a cut of the tax credits that studios receive, though UKIE members will get this at “an exclusive preferential rate”.
The trade body can provide preferential rates having signed a three-year deal with Jumpstart.
UKIE members are also promised “free advice about how R&D tax credits can benefit their businesses through an exclusive help-line address”.
Jumpstart said it employs over thirty people “with the scientific and technical knowledge to identify and justify eligible projects for R&D submission”.
The group does not always take on R&D claims for its clients if it thinks the chances are not good.
Jumpstart’s role for its clients is to ensure a game project can meet HMRC criteria for eligibility.
“After refining its report in conjunction with key staff, we create a comprehensive financial schedule which allows HMRC to see exactly how the total claimed is broken down and justified,” the firm said.
“After guiding the process through HMRC, Jumpstart secures, almost without fail, a tax benefit for the company in the form of a payable cash credit, a tax rebate, or an enhanced deduction that can be used against future profits.”
UKIE chairman Andy Payne strongly backed the partnership.
“I welcome this new partnership between UKIE and Jumpstart, not only as a UKIE board member but also as the MD of my own business Mastertronic,” he said.
“Mastertronic has recently worked with Jumpstart, to maximise our R&D tax break revenue and I personally recommend that all UKIE members make use of the excellent service that Jumpstart provide.
“UKIE now has a range of products and services to support UK interactive entertainment companies and we are delighted to add a new partnership with Jumpstart to this list. This partnership gives UKIE members unrivalled access to the specialist skills offered by Jumpstart – with a discount off the cost thrown in for good measure.
In the 2011 Budget, the Treasury announced it was increasing the tax credit rate to 200 per cent.