Kirby & Haslam

Staying Ahead of Compliance Changes

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In today’s rapidly evolving business landscape, keeping up with the latest changes in compliance is crucial for companies seeking to maximise their Research and Development (R&D) tax credit claims. At Kirby & Haslam, we understand the challenges businesses face in navigating these complex regulations.

To ensure businesses stay compliant with R&D tax credit regulations, it is essential to stay informed about the latest updates. Here are the recent changes you need to know:

Rate Changes and Scope Enhancement

R&D Tax Credits have undergone significant changes, combining rate adjustments and scope enhancements. Notably, the Research and Development Expenditure Credit (RDEC) rate has increased from 13% to 20%, effective from 1st April 2023. This means businesses can now benefit even more from their qualifying R&D activities.

Digital Submission Requirements

To streamline the process and improve transparency, all R&D Claims must now be made digitally. This includes providing a breakdown of costs and a narrative describing the R&D. By embracing digital submissions, businesses can enhance efficiency and ensure accuracy in their claims.

Advanced Notification for New Claimants

New claimants are now required to notify HMRC within six months of the end of the relevant claim period. This proactive step helps facilitate smoother communication with HMRC and ensures compliance with regulations.

Expanded Inclusions

The latest changes also encompass the inclusion of Cloud Computing costs and pure mathematics from April 2023. This expansion widens the eligibility criteria, allowing businesses from various industries to claim R&D Tax Credits more comprehensively.

Future Merging of R&D and RDEC Schemes

Expect the R&D and RDEC schemes to merge in the future. This integration will simplify the process for businesses and create a more unified approach to R&D Tax Credits.

Staying ahead of compliance changes is crucial for businesses looking to maximise their claims. At Kirby & Haslam, we offer comprehensive compliance services, including report writing, compliance management and review services. Our subscription options provide additional benefits and tailored support to meet your specific requirements. Contact us today to ensure your business remains compliant and unlocks the full potential of R&D Tax Credits.