Sheffield DigitalR&D Tax Reliefs for Digital Companies

Book a free consultation with the Radius team in Sheffield to see how R&D tax reliefs could generate tax savings or refunds for your digital business.

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How does R&D Tax Relief work?

  • Do you pay technical specialists to solve technical problems with software, the internet, data science or another digital discipline?
  • If so, your business could save around £25k of every £100k spent innovating

R&D Tax Relief is a generous government-backed incentive designed to reward innovative companies who invest in R&D. For an SME, this tax relief is worth around 25% of what a company has spent innovating.

It is one of the most significant tax breaks available to businesses right now, but many companies don’t realise they qualify. This is why we have partnered with Sheffield Digital, to help innovative digital businesses across the region to claim their full entitlement.

  • R&D Tax Relief on software projects

    Digital businesses are melting pots of innovation, whether through problem solving or the creation of new products or processes. Projects involving software development often qualify for R&D tax relief, provided they meet HMRC’s conditions of qualifying activity.

    These conditions are reasonably broad, and you may have already completed software projects that qualify.

    • Firstly, the R&D relating to the project must have attempted to achieve an overall advance, or improved knowledge and capability, in computer science or IT
    • It needs to be an overall advance in technology, not just advancing a company’s own knowledge or systems
    • The R&D should extend the baseline of the existing technology beyond its current capabilities
    • Your project must have attempted to overcome technological or scientific uncertainty
    • The project must go beyond analysis, copying or adaptation of existing software products or processes
    • And your project should not have been easily worked out by a competent professional in the field.

Digital Software Innovation Case Studies


Saving for a cyber security specialist

Development of products to prevent attacks on APIs. Developing such solution for APIs is difficult due to the level and complexity of traffic created. Working at the forefront of their field, the company faced uncertainties surrounding processing a variety of possible data types, structuring data in a specialised way whilst processing it quickly.


Saved for a software company

R&D carried out by the company involved the development of new platforms and features, including functionality to centralise import processes and replace manual processes, reconciling batches of data, as well as a platform to process payments. The company have also conducted R&D in developing intelligent solutions for data capture from forms.


Saving for a public safety software company

A new wave of solutions for event and venue management. The company claimed relief on their development of an advanced events management system, providing a real-time solution to improve the situational awareness and threat resolution systems already existing in the market.

How to get started

R&D eligibility checklist example

Check your eligibility

You can find out if your work qualifies for R&D tax relief by downloading our free Eligibility Checklist. 10 minutes and 11 simple questions to determine your eligibility to claim.

Download Checklist

Try our R&D Calculator

Find out how much R&D tax relief your company can claim using our R&D tax relief calculator.


Try the Calculator

Our approach to R&D tax relief

The Radius process for R&D Tax Relief claims has helped us save businesses in the Sheffield region millions of pounds in Corporation Tax. This includes both profit- and loss-making businesses from a wide range of industries, including the digital sector.

shorts partners and penny hydraulics

Step 1: Free Consultation

We kick things off with a 30–60-minute initial discussion. This can be in person, over the phone, or via videocall. Here we will explore whether we believe a R&D tax credit claim is possible.

Step 2: Building your claim

The dedicated Radius team will help you identify all qualifying R&D projects undertaken by your business and prepare your R&D tax relief claim on your behalf. We do most of the work, so you don’t have to; this includes gathering all technical information, collating qualifying costs and knowing all the right questions to ask.

Step 3: Maximising your claim

Radius will work with you to maximise your claim within the scope of the legislation. We will produce the technical report and a summary of qualifying costs that is required to support a claim.

  • An integral part of Sheffield's innovation ecosystem

    We are passionate about ensuring we do our bit to boost local prosperity, and making sure companies claim their full entitlement to the generous tax reliefs available for innovation. This is why we are the R&D Tax Relief partner of Sheffield Digital, as well as the Sheffield, Barnsley & Rotherham, Doncaster and East Midlands Chambers of Commerce.

    “We’re building on our long-standing relationship with Shorts to provide a straight-forward way for businesses to take advantage of tax reliefs for research and development.”

    – Mel Kanarek, Sheffield Digital