HMRC beefs up checks on R&D tax credits payments
HMRC beefs up checks on R&D tax credits payments
HMRC has said its standard processing times for research and development (R&D) tax credit payments will increase as it introduces extensive compliance checks.
Earlier this year, HMRC paused some R&D tax credit payments while it investigated an increase in irregular claims, fearing abuse of the system. These investigations are continuing.
However, for the vast majority of claims, HMRC aims to either pay the payable tax credit or contact the claimant regarding the claim within 40 days, saying it wants to return to its standard 28-day processing times as soon as possible.
HMRC also posted the following guidance on its website:
• To help HMRC process R&D payments quickly, ensure all entries are completed on the R&D section of the corporation tax return (CT600 form).
• Submitting additional information to support the claim, such as the R&D report, will help HMRC process the claim quicker.
• Review the latest guidance on completing the CT600 form on GOV.UK.
• If a claim is submitted that is incorrect, inflated, or fraudulent then you may be liable to a penalty.
HMRC is also asking claimants not to contact the R&D helpline/mailbox to chase their claims. HMRC also asks agents not to contact any HMRC official about a claim. Instead, agents should check the company’s online account to check the status of the claim.
