Updated R&D Tax Relief filing requirements from 08 August 2023

From 8 August 2023, there have been significant changes to the way in which R&D tax claims are made. Specifically in relation to tax computations and CT600 submission timings.

The change is effective post 8 August 2023 for ALL R&D Tax claims irrespective of what year the claim relates to, and irrespective of a company's financial year end.

Due to these changes and effective immediately, it's crucial that companies notify their Agent for R&D Tax Relief (if they have one) before the tax computations and CT600 are submitted to HMRC.

This is because an Additional Information Form (AIF) will need to be filed with HMRC before tax computations and CT600 documents are submitted.

Failure to do so will result in an automatic rejection of the R&D claim by HMRC.

MMP will, of course, be guiding our clients through every step of this process so if your provider or accountant has not discussed the changes with you then we are always happy to assist you with your R&D Tax Relief claim.

HMRC has introduced this stringent measure to prevent claims being made without the appropriate technology narrative and financial information, in line with CIRD guidance.

As our clients already know from from working with MMP, this information has always been in the form of an in-depth technology report to our clients and HMRC, as standard good practice.

Regretfully, this has not been the case across the industry as a whole.

Businesses with an allocated CCM at HMRC

In addition to the new filing rule and the submission of an Additional Information Form, for businesses that have an allocated Customer Compliance Manager (CCM) at HMRC, CCMs are asking that the full technology report be submitted to them as usual.

For MMP clients, this will either be submitted by MMP or some clients may wish to continue to forward our report directly.

"We want to assure existing and future clients that MMP is fully equipped to adapt our approach based on each clients particular situation. There is no additional work required of our clients, apart from adhering to the notification and confirmation processes outlined in this article. "

We understand that these changes may raise questions across the market. MMP is ready and willing to provide support and the team is dedicated to ensuring a smooth and successful submission process for R&D tax relief claims.