Following consultation earlier in 2023, HMRC has updated its draft R&D tax reliefs guidance which now reflects several changes to the original version, including:
the previously announced restriction on some overseas expenditure will now come into effect from 1 April 2024 instead of 1 April 2023 - this will allow the government to consider the interaction between the restriction and the design of a potential merged R&D relief;
where data or cloud services are used for multiple purposes, HMRC will accept the reasonable apportionment between the use for qualifying R&D and other uses (subject to retaining suitable evidence);
details required for the claim notification form have been expanded, to include a summary of ‘high-level planned activities’ and three new examples;
the definition of mathematics for R&D purposes has also been clarified, with a new example added;
the ‘additional information form’ start date has been updated to 1 August 2023 (from the previously proposed 1 April 2023); and
a new section has been added specifically for ‘large business customers’.
Following consultation earlier in 2023, HMRC has updated its draft R&D tax reliefs guidance which now reflects several changes to the original version, including:
the previously announced restriction on some overseas expenditure will now come into effect from 1 April 2024 instead of 1 April 2023 - this will allow the government to consider the interaction between the restriction and the design of a potential merged R&D relief;
where data or cloud services are used for multiple purposes, HMRC will accept the reasonable apportionment between the use for qualifying R&D and other uses (subject to retaining suitable evidence);
details required for the claim notification form have been expanded, to include a summary of ‘high-level planned activities’ and three new examples;
the definition of mathematics for R&D purposes has also been clarified, with a new example added;
the ‘additional information form’ start date has been updated to 1 August 2023 (from the previously proposed 1 April 2023); and
a new section has been added specifically for ‘large business customers’.
