Additional information required for Research & Development (R&D) claims
Following our earlier post around R&D, the latest Finance Act includes two changes that will affect all R&D claims:
- A requirement to provide additional information before an R&D claim is made; and
- A requirement for certain companies to make a claim notification within six months after the end of the accounting period for which they want to claim R&D relief.
When a limited company intends to make a claim for research and development (R&D) tax relief, from 8th August 2023 onwards it will need to provide detailed information to HMRC in advance.
You’ll need to set out details of the R&D project(s) undertaken, including the scientific or technical uncertainty that the work was looking to solve, and the qualifying expenditure, with details of the work completed.
For accounting periods beginning on or after 1st April 2023, there is also a new R&D Claim Notification Form which must be submitted within the ‘claim notification period’, which ends six months after the end of the accounting period for which the company wants to claim R&D relief.
New claimants or those who haven’t claimed for three years will need to complete this claim notification form for accounting periods beginning on or after 1st April 2023.
We’ve been discussing for a while that the R&D landscape is changing. We’ll continue to post the updates here, but if you’re already claiming regularly or are planning to do so, it’s well worth ensuring you have reliable guidance to support you. Do get in touch if you’d like to discuss the process, or are looking for an external advisor. We have prepared successful claims for clients over many years, but also have connections to specialists in this arena.
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