Chancellor Jeremy Hunt’s Autumn Statement (17 November 2022) announces significant changes to SME R&D Tax Relief and the Research and Development Expenditure Credit (RDEC), MARIA KITT has summarised – In the statement, the Chancellor confirmed the government is making substantial cuts to the rates of SME R & D reliefs and tax credit…(Read More)

In December 2020, HMRC quietly released a draft supplementary form (CT600L) to be completed by all companies claiming either the payable SME R&D tax credit or the R&D Expenditure Credit (RDEC) from 1 April 2021. The form has now been finalised and published on HMRC’s website. What is the CT600L…(Read More)

From Maria Kitt: 2022 Spring Budget reforms were announced by the Chancellor of the Exchequer following the HM Treasury Report of November 2021 to increase the effectiveness of the UK’s RD reliefs and incentives but at the same time protecting the taxpayer from abuse and avoidance. Research into the adoption of these key reforms…(Read More)

R & D Update January 2022 – HMRC ConsultationOverseas R & D Activity by Agency Workers & Subcontractors Notification of Project Work to HMRC in Advance Both the SME & Large company [RDEC] RD schemes provide valuable relief for UK based companies. Key changes for companies with overseas cost centres lie ahead & for all…(Read More)

Chancellor’s Autumn Speech – RD Tax Credit incentives HMRC remain concerned at the continued abuse of the RD tax credit scheme and rightly so. Whilst striving to improve its effectiveness, the Budget announced further reform markers to encourage innovative companies to bring their RD operations onshore (see below, 2.750. The UK is certainly well…(Read More)

In the most extreme public financing environment since the 1930’s recessions, Rishi Sunak delivered a growth focused Budget yesterday with immediate and longer term support to a range of sectors and businesses. For innovative companies, the intended move to a 25% corporation tax regime from FY [01 April] 2023 sets us back to the…(Read More)

The rules on R & D tax relief for subcontractor costs will change from 01 April 2021. Disappointingly, the PAYE cap abolished in the 2015 Finance Act will reappear, restricting RD tax credit payments for small companies to the amount of PAYE contributions paid over to HMRC in the same accounting period. Important exemptions are…(Read More)

‘UK R & D tax relief cannot be granted unless there is clear evidence of a scientific or technological ‘advance’ in capability or competence. Sometimes this can be the full scale invention of a new product, process or system; sometimes it may be the slightest gradation of an improvement. Whatever the degree, the advance must…(Read More)

Maria Kitt, Partner Tax Insight looks at HMRC’s additional R & D tax relief rules following the pandemic outbreak: ‘Whilst HM Treasury’s support measures have provided immediate assistance to many innovative companies over the past 10 months, there is some ‘fallout’ where RD tax relief and tax credits are claimed. These are impactive and…(Read More)

World events continue to challenge us all across every border, industry and society and we do wish hope and health to all. The UK Government has consolidated its Digital Services Tax code during 2020 and this was enacted earlier this year providing a basis for large digital marketing companies to contribute to the UK exchequer…(Read More)