Your company may qualify for the French R&D tax credit for outsourced R&D expenses that it incurred.
If your company is doing business in France, it may qualify for the French R&D tax credit. Both the research that your organization outsources and the research that it carries out jointly with another approved organization qualify for the French R&D tax credit. Expenses related to the following programs are eligible for the French R&D tax credit:
- Specific research and development programs that your company outsourced to an organization that the government approved; or
- Scientific and technical research that your company jointly performs with an organization that the government approved.
These programs do not necessarily have to be research and development programs. They simply must be necessary to perform in-house your company’s R&D programs that qualify for the French R&D tax credit.
Your company may qualify for up to:
- 30% of the first EUR100 millions of R&D expenses that it incurs in France, in the European Union or in certain countries of the European Economic Area,
- 5% of the R&D expenses that exceed the first EUR100 million.
Case study : your organization designs fabric samples in a laboratory, on its customers’ order. These samples meet clients’ specifications: color, feeling, effects and appearance, comfort and possible mixtures of materials. These samples are not for sale. Your organization’s clients manufacture new collections.
Your organization is eligible for the French R&D tax credit. This is because it contributes directly to the conception of new collections even if it doesn’t manufacture them.
The French R&D tax credit is a tax incentive for some industrial, commercial or agricultural organizations that incur research expenses. However, a portage salarial (i) company that supplies researchers to its clients, but that doesn’t define the content of the research, pay the research expenses nor bear the risk of the research doesn’t qualify for the R&D tax credit.