The Finance Act for 2013 n°2012-1509, dated December 29th, 2012, allows communautary SMEs (PME) (having less than 250 employees, a turnover of less than €50M and total balance sheet of less than €43M) to benefit from a new tax credit on innovation expenses.
The eligible projects are:
- Operations concerning conception of prototypes of new products that have not already been launched in the marketplace, nor commercialized;
- Operations concerning pilot installations of new products that have not already been launched in the marketplace, nor commercialized.
The eligible expenses to the new provisions are capped up to €400 000 per year and the tax credit rate calculated for these expenses is fixed at 20%, thus representing a total amount of €80 000 per year. This amount should be charged on corporate tax (impôt sur les sociétés) or refundable within 6 months.
For the first tax credit on 2013 expenses, a specific form should be filled at the date of the roll deposit (i.e. beginning of May 2014 for a fiscal year ending December 31th 2013).
Our assistance focuses on:
- calculating the innovation tax credit ;
- preparing the eligible expenses documentation ;
- carrying out tax formalities that have to be performed in early May 2014.