AI, Low Code and R&D Tax Relief: What Qualifies as R&D?

Are you using AI, low-code, or no-code tools to build software and wondering if your work still counts as R&D for tax relief?

If so, you’re not alone. We’ve had quite a few questions from clients in the same position recently.

Teams are delivering faster using AI tools and low-code platforms, but when it comes to R&D tax relief, it’s not always clear what still qualifies, and one question keeps coming up:“If we’re using the same AI and low-code tools as everyone else, do we still have qualifying R&D?”

We’ve created a short guide to help answer that, and explain how the existing rules apply in an AI-heavy, low-code world, where the baseline has moved, and evidence expectations have risen.

Is this guide for you?

If you’re involved in any of the following, then yes, we think you’ll find this a helpful read:

• Leading software or AI development
• Managing engineering teams using modern tooling
• Overseeing R&D tax claims or innovation spend

Whether you’re building new products, scaling existing platforms, or integrating AI into your systems, the guide is designed to help you assess where you genuinely have R&D.

Inside the guide, you’ll find:

✔    A clear explanation of how the statutory R&D definition applies in an AI and low-code environment, and why the baseline has shifted

✔    A breakdown of AI projects, showing the difference between using AI and genuinely advancing technology

✔    Guidance on low-code and no-code platforms, including when projects move from standard configuration into R&D

✔    Real-world scenarios that show how similar projects can lead to very different R&D outcomes depending on the technical challenges involved

✔    What HMRC expects to see in terms of evidence

✔    Practical steps to help you identify, track and document qualifying R&D within modern development workflows

Download the guide

⇊   Download the guide (PDF)  here  –  and get a clearer view of where your work sits today, and how to approach your next claim with confidence.

If you’re unsure how this applies to your projects, or you’d like a second view on your current position, please don’t hesitate to get in touch with ABGi