A consultation has been announced by HM Revenue and Customs (HMRC) seeking the views of patent holders and interested parties on proposed changes to the UK Patent Box scheme.
The Patent Box is an initiative designed to make the UK tax regime competitive for innovative high-tech companies by offering a reduced rate of corporation tax on profits attributed to patented innovations. Since the Patent Box began in April 2013, 639 companies have benefited from these reduced tax rates.
The changes have been proposed in order to comply with a new international framework for preferential tax regimes for IP, developed by the Organisation for Economic Co-operation and Development (OECD), which is intended to harmonise the various preferential tax regimes that operate within the G20 member countries.
As the HMRC consultation document explains "The central point is that for a business to gain the benefit of a preferential regime, it should have conducted the substantial activities which generated the income benefiting from that regime." The proposed changes therefore include a requirement that links the benefits under the Patent Box to R&D expenditure incurred in the development of the IP. This is known as the nexus approach.
The joint HM Treasury and HMRC consultation will affect UK businesses which hold and exploit patents, as well as those business looking to invest in IP for the first time. The consultation sets out the government’s preferred approach, within the new international framework and seeks views on how the UK can form a set of rules for the Patent Box.
The consultation document can be viewed here. Responses to the consultation should be submitted to the HMRC by 4 December 2015.
EIP hosted a roundtable debate on innovation and intellectual property with manufacturing, technology and software companies at its office in Cardiff.
Some of South Wales’ most innovative companies discussed how they identify, nurture and protect innovation and use their IP to create competitive advantage.
EIP Partner Neil Condon was joined by representatives from the Welsh Government, Ultrawave, TrakCel, Nudjed, Axiom Manufacturing Services, SPTS Technologies, Markes International, the ESTnet, Excelerate and Eurobond Laminates.
For highlights of the debate, click here.
EIP has once again been ranked as one of the leading intellectual property firms by the Chambers & Partners 2015 guide.
Chambers said EIP was “A dynamic and expanding practice… particularly celebrated for electronics, telecoms and complex litigation support.”
Partners Jerome Spaargaren and Heather McCann received individual recommendations for the fourth and fifth years running, respectively. Gary Moss, head of EIP Legal, was mentioned as a notable practitioner for the third year in a row.
The Chambers & Partners rankings are based upon market research and feedback received from clients. To read what the researchers said about EIP, click here.
EIP has retained its Tier 1 ranking in the Legal 500.
The 2014 edition of the highly-respected guide places EIP among the top 10 firms of patent attorneys in the UK, and the number one firm in Bath, Cardiff and Leeds.
Researchers described EIP as “second-to-none” and singled out four individuals – Jerome Spaargaren, Heather McCann, Adam Flint, and Darren Smyth - as highly recommended.
To see the researcher’s comments about EIP, click here.
Partner Matt Lawman has once again been ranked amongst the world’s leading IP strategists.
Matt, who is head of EIP Strategy, is listed in the IAM Strategy 300: The World’s Leading IP Strategists for the second year in a row.
Matt works with clients ranging from multinational corporations to start-up enterprises and specialises in helping IP owners to shape and maximise the value of their IP portfolios.
Researchers in the United States, Europe and Asia interviewed a wide range of senior corporate IP managers and third-party IP service providers to compile the rankings.
IAM editor Joff Wild said: “The IAM Strategy 300 recognises the achievements of a very select group of men and women whose advice has consistently helped companies across the world to generate significant extra value from their IP.”