Patent Box

10% Corporation Tax on qualifying patents

Reduces your corporation tax rate from 25% to 10%, so more of the profits generated by your patented innovations stay in your business rather than being paid in tax.

Combines With R&D Tax Relief

R&D Tax Relief and Patent Box can be claimed together, providing significant tax benefits for qualifying businesses.

Backdate your claim by up to 6 years

Once your patent is granted, you can claim Patent Box tax relief for up to six years while your application was pending, subject to having elected into the regime.

Calculate Your Companies Patent Box Tax Saving

IP Income/Turnover

IP Direct Cost of Sales (materials, direct labour)

Estimated proportion indirect costs (rent, insurance, maintenance etc.)

Did you acquire your patent?

Yes No

Is the R&D in relation to your patent managed internally or externally?

Internally Externally Both

This is an estimated figure, other factors such as capital allowances may affect your entitlement.

To get an accurate valuation of your Patent Box claim, we advise booking a tax benefit valuation with our Patent Box team.

Our Patent Box Process

1. Eligibility Assessment Through an initial consultation, we’ll assess your potential for claiming Patent Box relief. Our team will verify your business activities and intellectual property portfolio. We'll assess your patents, identify qualifying income streams, and conduct a preliminary analysis of your eligibility for the scheme. By the end of this step, you'll have a clear understanding of your potential tax savings and the viability of pursuing a Patent Box claim.

2. Claim Preparation

We’ll then handle the preparation of your Patent Box claim compiling all necessary documentation to ensure your claim adheres to HMRC's requirements. This includes a compelling narrative that clearly demonstrates your eligibility for relief along with supporting documents, we’ll submit this to HMRC on your behalf. Next, we stream the business’s income and expenditure to determine how its profits map to its relevant product sales, royalties and license fees, patent sales, infringement income and notional royalties on processes or services.

3. Ongoing Support Our commitment to your success extends beyond the initial claim submission. We remain available to answer any questions you may have throughout the process and provide ongoing support as needed. Our team will closely monitor any communication from HMRC and provide expert guidance if any clarifications or adjustments are required. We're here to ensure a seamless experience and maximise your long-term benefit from the Patent Box scheme.

Meet Our Patent Box Team

Led by Ben Guyton, an MAAT qualified accountant who draws on over five years of experience as the Head of Finance for a multinational business in Norfolk.

Ben Guyton, Director of Accounting in blue shirt, smiling. The background shows a grid of dark-framed glass office windows, slightly out of focus.

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How Much Does a Patent Cost in the UK?

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Frequently Asked Questions

How do I elect into the Patent Box scheme? Your company must elect into the scheme during your corporation tax return. This must be done within two years of the end of the accounting period in which the relevant profits were earned.

Who qualifies for Patent Box? UK based companies who pay corporation tax and hold a patent can potentially benefit from the scheme. Patent Box isn’t just limited to science and technology companies, all industries can be eligible.

How much tax can I save with Patent Box? The amount of tax you can save depends on the profits from your qualifying patents. By reducing the corporation tax rate on your profits to just 10%, your business can save, freeing up capital for reinvestment in further innovation and growth.

What types of patents qualify for Patent Box? Any business who’s had a patent granted by the UK Intellectual Property Office (UK IPO), the European Patent Office (EPO), and certain other EEA countries.

What income is eligible for the reduced tax rate under Patent Box? The reduced 10% tax rate applies to profits generated from:

Selling products that include a patented invention
Licensing your patented technology to others
Selling your patented rights
Income from spare parts or products made using the patented process
Infringement income such as damages received from lawsuits

Can smaller businesses benefit from the Patent Box scheme? Of course! Small and Medium sized enterprises SME’s that hold a patent can also benefit from this tax incentive. The scheme is not just limited to larger corporations.

Real-World Example

Patent Box Within Structural Engineering

Company A delivers innovative solutions using advanced technologies and eco-friendly materials. They successfully claimed under the Patent Box scheme and secured a tax saving of £125,788 by demonstrating the patent’s revenue impact.

£3,362,722 Turnover

£1,019,855 Relevant Profit

£125,788 Total Tax Saving

Feedback we love

What People Say About Us

“The Wilby Jones process compared with our previous advisor is phenomenal, a completely seamless process which yielded a very good result.”

“Wilby Jones helped us to bridge the gap between finance and scientific matters and put together successful Patent Box claims with confidence in their completeness and compliance.”

Ben WilliamsDirector

Reduced corporation tax on profits earned from your patented inventions.

What Is the Patent Box Scheme?

Patent Box in Numbers

Patent Box in Numbers

What Is Required To Claim Patent Box

Patented Inventions

Profit Source

Company Location

Calculate Your Companies Patent Box Tax Saving

Our Patent Box Process

Meet Our Patent Box Team

Relevant Articles

Frequently Asked Questions

Patent Box Within Structural Engineering

What People Say About Us

Our Services

What We Have To Say

Is It Worth Getting a Patent in the UK?

The Patent Box Scheme and its Role in R&D Growth