The UK introduced a ‘Patent Box’ regime in April 2013, which allows
UK companies which develop and exploit patented technology to
pay a reduced rate of Corporation Tax. At the time UK Corporation
Tax was 23% and the Patent Box rate of 10% was very attractive
for innovative companies. However, news of this favourable
regime spread overseas and attracted criticism from some foreign
governments, who were concerned about erosion to their own tax
revenues. Leading this opposition was the German finance minister,
Wolfgang Schäuble, who called for a ban on the UK’s scheme.
Boxing clever
An update on Patent Box
6
IP review
autumn
2015
