The UK patent box which came into effect in April 2013, will provide some tax relief for companies that have income connected with patents.
This is not just royalties, but also income from sale of products that are protected by patents, or products that include elements protected by patents. It will also apply to income from products and services that involve patented processes.
This course will look at the details of the relief, including the calculation issues that may arise, with a particular focus on planning points and potential traps.
What You Will Learn
This course will cover the following topics:
- Overview: what is the patent box
- When does it come into force
- Electing into the regime
- Who can claim the patent box relief
- Exclusive licences
- Development requirements
- Group company points
- What patents and other IP qualify for relief
- UK patents
- European patents
- Other IP
- How the relief is calculated
- The standard calculation
- The streaming calculation
- Treatment of patent box losses
- Phasing in the relief
- Impact of the relief on the corporation tax calculation
- Planning points
- Brief comparison with other patent box regimes in Europe
Speaker: Anne Fairpo, barrister and fellow of the Chartered Institute of Taxation. Anne is a barrister at 13 Old Square Chambers and Atlas Chambers. Her practice focuses on UK corporate tax, particularly the interaction of UK and foreign taxes. She is the author of Tottel's Taxation of Intellectual Property, and contributes to the IP tax chapter for Tolley's Tax Planning.