HMRC R&D claims arrests
You’ll have seen from our earlier articles that R&D claims were suspended earlier this year, and have now resumed with additional checks in place.
Eight people, including a tax agent, were arrested on the 12th October as part of a wider investigation. These people are thought to have been involved in over a hundred fraudulent R&D claims for in excess of £16million.
No wonder payments were suspended!
Since April 2022, more than 1,600 claimants have been asked for additional information to support an existing claim. More than 80% of these claims have been rejected as a result of the enhanced checks.
Designed to reduce the risk of fraud, the enhanced checks have lengthened the processing time for R&D claims from 28 days to 40 days. HMRC say they’re now processing 80% of claims within the 40 day timescale.
Further changes set to be introduced from April 2023 aim to further reduce the level of fraud relating to R&D claims. To be considered, claims will have to be notified in advance, submitted digitally, be endorsed by a named senior officer of the company and include details of any agent who has advised the company regarding the claim.
We can help you decide whether your work is likely to be eligible for a claim, help you quantify the costs you can claim, prepare and submit an R&D claim on your behalf, or work with any external advisor you may already have a partnership with, to ensure your claim is prepared, submitted and repaid as quickly and smoothly as possible.
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