In this podcast, David Gillies - Head of Tax at Friend Partnership - takes a look into the Patent Box tax relief scheme. 

Patent Box has been in existence in the United Kingdom since 2013 and was introduced to encourage companies which make a profit from patented inventions to retain their intellectual property in the UK.

In order to access the tax incentive, a company must have a qualifying patent, meaning that it must hold qualifying intellectual property rights or an exclusive license. By electing into the Patent Box regime, a company can benefit from a 10% rate of Corporation Tax on its income from patented products or processes, as opposed to the current corporation tax rate of 19% (going up to 25% in 2023)