Patent Box Tax Planning
Reduce your corporation tax to 10% on patent profits
Strategic IP tax planning for companies with granted or pending patents
Book a Consultation →The UK's Most Overlooked Tax Relief
If your company holds patents and generates profits from patented products or processes, Patent Box relief can reduce your effective corporation tax rate to just 10% on those profits.
It's one of the most valuable tax reliefs available to IP-rich businesses—yet most R&D advisors don't even mention it.
We specialise in Patent Box planning because we understand both the technical requirements and the commercial opportunities.
What Is Patent Box?
Corporation Tax Relief for Patent Profits
Standard UK Corporation Tax
25%
Patent Box Rate
10%
Your Saving
15%
For a company making £1m in patent profits, that's £150k saved annually.
Over 5 years? £750k.
Yet most companies with qualifying patents don't claim it.
Who Qualifies?
Eligibility Requirements
You can claim Patent Box relief if:
- Your company holds qualifying patents (granted by UK IPO, EPO, or equivalent)
- You've made a significant contribution to the creation or development of the patented invention
- Your company generates income from the patented invention (product sales, licensing, etc.)
- You're a UK corporation tax payer
Types of Patents That Qualify
- Granted patents (UK, European, or other qualifying jurisdictions)
- Pending patents (relief claimed retrospectively once granted)
- Exclusive licenses to exploit patents (in certain circumstances)
Industries We Typically Work With
- Life sciences and pharmaceuticals
- Manufacturing and engineering
- Software and tech (where patents exist)
- Medical devices
- Deep tech and materials science
Why Companies Miss Patent Box Relief
R&D-Only Advisors Don't Offer It
Most R&D tax credit specialists don't understand Patent Box. It's a separate, complex relief requiring different expertise.
Patent Attorneys Don't Handle Tax
Your patent lawyers secure IP protection but rarely advise on tax optimisation.
Generalist Accountants Lack Expertise
Local accountants may not have the technical knowledge to navigate Patent Box calculations and compliance.
Complexity Puts People Off
Patent Box calculations are genuinely complex (tracking patent costs, apportioning profits, streaming calculations). Many avoid it entirely.
The result? Companies leave hundreds of thousands—sometimes millions—in tax savings unclaimed.
Strategic Patent Box Planning
Eligibility Assessment
We review:
- Your patent portfolio (granted and pending)
- Products/services generating income from patented technology
- Company structure and ownership
- Level of contribution to patent development (R&D activities)
- Qualifying IP income streams
Patent Box Calculation
We calculate relief using:
- Streaming method (profit apportioned to individual patents) or
- Small claims method (simplified calculation for smaller claimants)
We identify the optimal approach for your circumstances.
Integration with R&D Tax Relief
Patent Box and R&D relief often overlap. We ensure:
- No double counting of costs
- Optimal allocation between reliefs
- Strategic timing of claims
- Coordinated documentation
Ongoing Optimisation
As your patent portfolio evolves, we:
- Review new patents for qualifying income
- Adjust calculations as products mature
- Identify opportunities to maximise relief
- Ensure ongoing compliance
How Much Can You Save?
Indicative tax savings from Patent Box relief
*Over 5 years, these savings compound significantly. Plus, the relief is retrospective once patents are granted.
Why Work With Us?
Most advisors know R&D or patents, but not both. We bridge that gap with deep expertise in innovation tax.
You work directly with Steve, who has 20+ years advising IP-rich businesses on tax strategy.
We don't treat Patent Box in isolation. We integrate it with R&D relief, EIS structuring, and broader tax planning.
Patent Box rules are complex and frequently scrutinised. We ensure full compliance from day one.
Common Questions
Can we claim if our patents are pending?
Yes. Once granted, you can claim retrospectively for accounting periods where the patent was pending.
What if we license our patents to others?
Licensing income can qualify for Patent Box relief, subject to meeting the development condition.
Can we claim for patents granted outside the UK?
Yes, if granted by a qualifying patent office (UK IPO, EPO, and certain others).
How long does it take to set up?
Initial assessment and calculation: 3-6 weeks. Ongoing management integrated with year-end accounts.
What if we also claim R&D tax relief?
Common and beneficial. We ensure both reliefs are optimised without double-counting.
Ready to Unlock Patent Box Savings?
Book a 30-minute consultation to review your patent portfolio, assess eligibility, and calculate your potential tax savings.
No obligation. No sales pressure. Just straight advice from someone who understands both IP and tax.
Book Your Free Consultation →