Updated: Oct 31
Attention all businesses engaged in Research & Development (R&D) activities! Significant changes in the R&D tax submission process are coming, starting from August 8, 2023.
1️⃣ New Mandatory Online Form:
With immediate effect, R&D tax claims must be submitted via a new online form, and failure to comply will result in dismissal of the claim, leaving no room for exceptions and necessitating a challenging shift to digital submissions.
2️⃣ Tightened Claims Timeframe:
The R&D claims timeframe is getting tighter, adding pressure to an already complex process. Missing the specified deadline could jeopardise your chances of claiming R&D tax benefits.
For accounting periods starting on or after April 1, 2023, additional changes are set to shake up the R&D tax landscape:
New Criteria for Sub-contracted & Externally Provided Workers: The new criteria for sub-contracted and externally provided workers in R&D projects may present obstacles due to increased stringency and demands, possibly complicating claim procedures.
New Allowable Expenses: Pure Maths and Data/Cloud Computing: New opportunities to include pure mathematics and data/cloud computing costs as allowable expenses starting April 1, 2023, but they may be subject to extra scrutiny from tax authorities, adding to the claiming process's tediousness
If you have any questions and would like to speak to a member of our expert R&D Tax team then please do not hesitate to get in contact. Our tax team will be happy to assist you in preparing and submitting your R&D claim along with any additional required documents.