1. KnowledgeBank
  2. Eligibility
  3. Do R&D tax credits apply to a sole trader?

Need technical advice?

Speak to our expert team.

Do R&D tax credits apply to a sole trader?

Rebecca Smyth tax consultant
Tax Manager
(Last updated on )

Research and development (R&D) tax credits can only be claimed by companies that are liable to UK Corporation Tax. Sole traders do not pay UK Corporation Tax and, as a result, they cannot claim R&D tax credits.

R&D tax credits are a form of Corporation Tax relief and so — if you’re a sole trader — you’re not registered for UK Corporation Tax and cannot make a claim.

At ForrestBrown, we specialise in R&D tax credits and advise innovative businesses on their role in the funding cycle.

This article was last updated on