R&D tax deductions for companies in Bizkaia

We assess whether activities qualify as basic research, applied research or experimental development and whether they involve the generation or application of new scientific or technological knowledge.

Advanced software development can also qualify when it represents significant scientific or technological progress and addresses genuine scientific or technical uncertainty.

We analyse whether the project represents a technological advance resulting in new or significantly improved products, services or business processes that contribute to the company's competitiveness.

Technological innovation can also affect production, administration and management, logistics, marketing and sales, information systems and product or business-process development when the technological requirements of the regulation are met.

We identify routine improvements, customer-specific adaptations, minor or aesthetic modifications, ordinary production activities and other work that does not represent significant scientific or technological novelty.

We explain the scientific, technological, industrial or business challenge addressed by the project and define measurable scientific, technological and business objectives.

We establish the technological starting point and describe the substantial novelty of the project in relation to existing technology, products, processes and available alternatives.

We structure the complete project into phases, defining their nature, activities, timing, deliverables, expected results and measurement indicators.

We document the technical team, experience, project contribution and supporting evidence required to demonstrate the work performed.

We identify participating personnel, their training, technical contribution, project dedication and hourly cost, including specific treatment for qualified research personnel exclusively assigned to R&D.

We review external technical collaborations and determine their treatment according to the nature of the provider and the type of activity carried out.

Depending on the activity, eligible concepts may include consumable materials, exclusive R&D investment, acquisition of advanced technology, patents, licences, know-how and designs.

We separate non-eligible costs such as travel, accommodation, training, project-documentation costs, general project-management or certification consultancy, administrative expenses and general overheads.

The general deduction is 30% of R&D expenditure. For eligible R&D projects exclusively linked to a substantial reduction in negative environmental impact, the percentage is 35%.

Where current-year expenditure exceeds the average of the previous two years, the excess receives an increased deduction of 50% or 55%, respectively.

An additional 20?duction may apply to certain expenditure, including qualified researchers exclusively assigned to R&D and eligible R&D projects contracted with recognised universities, research organisations or technology centres.

Specific additional cases also apply to certain environmental R&D projects and contracts with companies meeting the required innovative-company conditions.

Investment in tangible and intangible fixed assets exclusively assigned to R&D activities may generate a 10?duction, excluding buildings and land.

Technological innovation applies different percentages according to the expenditure category: 20% for certain projects contracted with recognised research and technology entities; 15% for software engineering, industrial design and engineering or design of new products or business processes; 15% for certain advanced-technology acquisitions; and 20% for certification under innovation-management standards such as ISO 56002 or UNE 166000.

A separate qualification report is requested for each tax year, including for multi-year projects, and is based on activities actually performed and real expenditure incurred during the year.

The application can be submitted through its platform during the 45 days following the end of the company's tax period.

We prepare the administrative, technical and economic information required for submission and ensure that invoices, contracts, personnel documentation and other evidence are available within the application deadline.