Everything you need to know about Patent Box (almost)

September 17, 2015


Hopefully you’re all back from holiday rested and recharged – which is good news, because if your company is affected by the BEPS actions affecting IP, and by patent box in particular, there’s plenty to do. The regime will undergo significant change over the coming months and some critical deadlines are already fast approaching.

The patent box can be an extremely valuable tax saving for companies that are eligible to claim (The UK Government has estimated cost savings for eligible businesses of £1bn) and the incentive doesn’t just apply to traditional R&D-heavy sectors. Patents have a life of 20 years, and only one patented ingredient or component is needed for an entire product to qualify for patent box relief, which means that patent box has an extremely wide reach. We’ve already seen successful claims made across a wide range of sectors, from house builders to food manufacturers.

Claiming the patent box relief takes a considerable amount of organisation.  We wouldn’t recommend leaving fewer than three months to complete your claim. The final submission date for patent box claims for December 2013 year-ends is 31 December 2015 and we’d hate to see anyone miss out because they’ve underestimated the amount of work that needs to be done.

Over the next few weeks we will be writing blogs that will give you (almost) all the information you need about patent box, as well as some of the wider implications of BEPS for Intellectual property (IP). We’ll cover the current UK patent box regime, and the modified nexus regime that will replace the patent box from July 2016, following the review of all IP regimes as part of the OECD’s BEPS project. We’ll also discuss how best to track and trace patents, and the implications for companies with complex R&D chains, with an emphasis on the practical steps that companies should be taking.

In October, we’ll be holding two events to discuss the forthcoming OECD framework for global IP regimes and the implications for businesses. The breakfast events, which will be attended by Fergus Harradence of HM Treasury, who has represented the UK in the OECD Nexus discussions, will be held on 13 October in London and 15 October in the Midlands, and you can find more details here.

There’s already a lot of useful information about patent box and all the associated developments on our website. You can find a short introductory video, in which we explain the main things you need to know, on My Tax Partner, and there are dedicated pages on patent box here.

There’s a lot to know and a lot to do but we’re here to help and guide you through the Patent Box maze. Stay tuned! 


Angela Browning

e: [email protected]

p: +44 (0)1509 604274


Adrian Gregory

e: [email protected]

p: +44 (0)2072 34942