In June we provided a second update in Chartered Accountants Tax News on delays in processing R&D tax credit claims. HMRC has now provided a further update which confirms that HMRC’s investigation into “concerning” claims which had been identified is ongoing meaning payment of claims continues to be delayed. Read the full update from HMRC below.
“As previously mentioned, we are conducting additional checks on each claim and so our aim for processing times is currently 40 days. However, we are looking to return to 28 days as soon as we can.
At the R&D Compliance Forum meeting that was held on July 13th, we discussed the ongoing work of Fraud Investigation Service (FIS), who recently issued letters seeking more information on identified claims we had concerns with. These letters are part of our efforts to ensure HMRC is taking appropriate action to protect the relief from abuse. As soon as we are able to, we will share any information we can on FIS’s work.
We will shortly be reaching out to our working group to invite representatives to join a sub-working group to take forward ideas that representative bodies have raised with us. There will also be a full working group meeting taking place towards the end of the Summer/early Autumn.
Furthermore, we are hoping to send another update when we have more information to share.”