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R&D in Cosmetics

Industry Spotlight

How might a cosmetics company qualify for R&D tax relief?

Cosmetics companies can qualify for R&D tax relief by engaging in research and development activities that lead to technological advancements, product innovation and improved formulations.
Here are some ways cosmetics companies can potentially qualify for R&D tax relief:

Cosmetics companies investing in the research and development of new active ingredients, including botanical extracts, peptides, antioxidants and innovative biomaterials, may qualify for R&D tax relief. 

These efforts aim to enhance product performance, address specific skin concerns and improve the overall effectiveness of cosmetic products.

Cosmetics companies investing in research and development to advance sustainable and ethical practices such as 

  • Reducing carbon footprint
  • Promoting ingredient traceability 

These efforts contribute to the development of environmentally responsible and socially conscious cosmetics.

Cosmetics companies that foster collaboration with research institutions, academic partners and technology providers to drive innovation, conduct scientific studies and develop new cosmetic concepts and technologies may enhance their eligibility for R&D tax relief.

Companies involved in the development of advanced testing methods such as 

  • In vitro testing
  • Alternative testing models 
  • Predictive safety assessment techniques, may qualify for R&D tax relief. 

These innovations aim to replace or reduce the need for animal testing and improve the accuracy and efficiency of safety assessments.

Companies involved in developing new cosmetic formulations, such as skincare products, makeup, hair care products and fragrances, may qualify for R&D tax relief. 

Research and development efforts focused on improving product efficacy, ingredient selection, stability, safety and compatibility can be eligible for tax incentives.

Cosmetics companies investing in research and development to improve product stability, extend shelf life and prevent microbial contamination may qualify for R&D tax relief. 

These efforts involve developing novel formulation techniques, antimicrobial systems and preservative alternatives to ensure product quality and longevity.

 Cosmetics companies focusing on the research and development of natural and organic ingredients and environmentally friendly manufacturing processes may qualify for R&D tax relief.

 These efforts aim to create eco-conscious products, reduce environmental impact and cater to the growing demand for clean and green cosmetics.

Companies investing in research and development to improve packaging design, materials and delivery systems for cosmetics products may qualify for R&D tax relief. 

Efforts to develop sustainable packaging solutions, enhance product preservation and improve user experience through innovative packaging technologies can be eligible for tax incentives.

Companies engaged in the research and development of innovative sun protection technologies, including broad-spectrum UV filters, photostable formulations, and advanced SPF measurement methods, may qualify for R&D tax relief. These innovations aim to enhance sun protection efficacy, improve sunscreen formulations, and address emerging concerns related to sun damage and skin health.

Doing anything innovative or industry advancing?

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Has your company engaged in this type of activity in the past?​

If you believe your cosmetics could benefit from R&D tax relief, please do not hesitate to contact us today.

Our team of experts is here to help you navigate the complexities of research and development tax relief and ensure that you receive the maximum benefit for your innovative work.

Get in touch today to book a FREE discovery call.

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