R&D claims getting rejected out of hand

[gtechrob]

Great result - just a shame it had to take so much time and effort!

tell me about it! We are only just up on the deal but figured it would help us for future claims.

What still gets me is that as a SME we are not allowed to claim for any work we do with Universities (we work with two on variour projects) but if you are a corporate, no problem. Twas ever thus I guess. When you need help, none is availbale. And when you don't, it's there in spades.

 

[Zak Townsend]

Ah, the joys of HMRC’s latest "improvements" to the R&D scheme. ISBC seems to be rejecting claims like it’s their actual KPI even the rock-solid ones. We’re seeing the same thing across the board: SMEs with legit R&D (proper chemists, real labs, the works) getting those templated "rejected in entirety" letters. Feels like ISBC’s playing a game of "spot the loophole" but forgot to read the rulebook first.
Good to hear your accountants have some HMRC contacts on speed-dial. Ours are saying the same—this isn’t just tighter scrutiny, it’s a total breakdown in how claims are being assessed. The scary part? It’s hitting good claims hardest, because the truly dodgy ones were always going to get caught eventually.
Any hints from your side on whether HMRC’s getting pushback? Or is this just the new normal until someone forces a rethink? Either way, solidarity this is turning into a nightmare for decent businesses.

 

[Chris Ashdown]

As a tax payer I find it welcome that you have to absolutely prove your claims, for far to long it does seem the system has been abused by many, I feel its reassuring that companies both large and small have to fully justify their claims

 

[Newchodge]

As a tax payer I find it welcome that you have to absolutely prove your claims, for far to long it does seem the system has been abused by many, I feel its reassuring that companies both large and small have to fully justify their claims

There is, however a problem. HMRC funding has been heavily cut. They cannot afford to employ enough people to deal with ordinary taxation issues. R & D claims, by definition, will be very technical and HMRC do not have the ability to assess them properly, nor the money to pay for them to be properly assessed. So the claimant now has to give very clear evidence of how they meet the criteria for their claim. PIP applicants have the same issue.