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HMRC’s statistics for R&D and Patent Box tax relief – GovGrant commentary

Posted on Friday 1 October 2021 by Luke Hamm | Chief Executive Officer

The latest statistics showing the value of R&D tax relief and Patent Box were published by HMRC yesterday. What does an initial look at this year’s numbers tell us?
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The new cap on the SME R&D tax credit scheme

Posted on Monday 7 December 2020 by Stephanie Taylor | Senior Tax Manager

Further to our blog outlining the impacts of the Finance Bill 2021 we have received an update to the guidance on the new SME cap from HMRC.
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The Patent wake-up call

Posted on Wednesday 18 November 2020 by Luke Hamm | Chief Executive Officer

For the first time ever, HMRC have independently reviewed the Patent Box scheme to understand if it is an effective tool in the government R&D agenda or if it needs to scraped.
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Finance Bill 2021 – impact on R&D tax credits

Posted on Friday 13 November 2020 by Stephanie Taylor | Senior Tax Manager

HMRC have recently announced changes to the rules for R&D tax credits for SMEs. The new rules have been designed to target perceived fraudulent claims using structures set up in the UK to claim a repayable credit even though no R&D work was actually carried out in the UK.
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HMRC report failings in R&D tax credit claims

Posted on Wednesday 28 October 2020 by Stephanie Taylor | Senior Tax Manager

HMRC recently reported on the outcome of a first-tier tax tribunal case investigation into an R&D tax claim, in the case of Hadee Engineering Co Ltd (Hadee). Hadee made R&D claims for the periods ending 30 April 2009 and 30 April 2010. HMRC challenged the claims asking if the expenditure was incurred in the relevant periods, whether the projects qualified as R&D under the BIS guidelines and whether the expenditure was incurred as part of a contract and whether the expenditure had been subsidised.
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Three challenges revealed in this year’s HMRC statistics

Posted on Tuesday 6 October 2020 by Luke Hamm | Chief Executive Officer

Now that I have had some time to digest the recent update from HMRC in respect of the R&D tax credits and Patent Box statistics, there are three things that have stood out for me:
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Latest R&D tax credits and Patent Box statistics are out

Posted on Wednesday 30 September 2020 by Luke Hamm | Chief Executive Officer

The latest Research and Development Tax Credits and Patent Box statistics have been released today by HMRC. It’s encouraging to see a year-on-year increase in claims for R&D tax relief but once again, the growth in Patent Box is woefully behind. More businesses are using the R&D scheme, which is great. However, overall business investment in innovation has only seen a marginal increase.
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Inside Accountancy podcast: Targeting tax incentives

Posted on Tuesday 8 September 2020 by Luke Hamm | Chief Executive Officer

As businesses look to recover from this year’s crisis, investment in R&D is a vital step for a sustainable UK economic recovery. In their latest Inside Accountancy podcast, Accountancy Age’s Leanna Reeves speaks to GovGrant’s Luke Hamm to assess how tax incentives should be further targeted to encourage investment from organisations into R&D projects.
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The need for regulation in R&D tax advisors

Posted on Monday 7 September 2020 by Luke Hamm | Chief Executive Officer

There has been much talk about the regulation surrounding R&D tax advisors and it is a welcome conversation. I would love to work with like-minded advisors to keep evolving the conversation. To find the right framework for this industry today, and just as importantly, where it goes next.
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HMRC’s hallmarks of Research and Development

Posted on Wednesday 8 July 2020 by Luke Hamm | Chief Executive Officer

In the recent HMRC consultation regarding the R&D tax credit cap for SMEs, they talked about a need to identify and rely on ‘Hallmarks’ of R&D to ensure that claims that are being made are bona fide and not an attempt to play the system.
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HMRC confirms the State Aid rules for each new Covid-19 loan scheme

Posted on Friday 29 May 2020 by Vanessa Cooper | Group Technical Tax Manager

GovGrant sits on the Research & Development Consultative Committee (RDCC) to represent UK’s business when it comes to the operational delivery of the R&D tax relief schemes. This is an HMRC-sponsored forum, and as members we receive regular updates as HMRC advice evolves and develops. We are currently in an unprecedented period of change, with the introduction of new and vital measures to support business British business.> Read more

When HMRC investigates – what does it tell us about our industry

Posted on Friday 22 May 2020 by Luke Hamm | Chief Executive Officer

HMRC recently reported on the outcome of a first tier tax tribunal case investigation into an R&D tax claim.

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How will Covid-19 affect the going concern requirements?

Posted on Monday 11 May 2020 by Vanessa Cooper | Group Technical Tax Manager

Increased risk of material uncertainties

In these unprecedented times, the audit of going concern assessments and reporting on material uncertainty related to going concerns are key for auditors. The Audit and Assurance Faculty has produced two guides on the topic.
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Government must do more to support innovation or risk losing our best businesses to competitors

Posted on Thursday 10 October 2019 by Luke Hamm | Chief Executive Officer

Innovation tax specialist GovGrant comments on the annual HMRC tax credits statistics and says Government needs to demonstrate that it really is pro-business. Commenting before the publication today (10 October) of the latest HMRC statistics measuring the amount of tax credits claimed by the UK’s most innovative businesses during the previous 12 months, Luke Hamm, CEO of GovGrant, said:

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Good news in HMRC R&D tax credits report, but new policies needed to boost growth

Posted on Thursday 10 October 2019 by Luke Hamm | Chief Executive Officer

Commenting on HMRC’s analysis of UK R&D tax credits in its report, published today Luke Hamm, CEO of innovation tax specialist GovGrant, which has helped businesses claim back over £200m for their R&D, said: “The good news is that the number of claims by UK SME businesses accessing the tax credits system has increased by 22% between 2015-16 and the end of 2017. 77% of all claims are from SMEs, and there’s been a welcome 15% increase in the number of first time SME applications.”

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GovGrant urges action on innovation tax credit fraud but to keep the claim process simple

Posted on Friday 7 June 2019 by Luke Hamm | Chief Executive Officer

GovGrant CEO Luke Hamm has welcomed HMRC’s (HM Revenue & Customs) decision to crack down on abuse of the R&D tax relief system. GovGrant, which is a member of the HMRC Research and Development Consultative Committee, helps businesses claim millions each year for their innovation, including patents and inventions. Luke said he hoped ministers would move quickly to protect the reputation of the tax system and force out unscrupulous agents in time for new rules on tax credit coming in April next year.

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GovGrant CFO Steve Phillips reflects on the 2018 Budget and its impact on innovation and R&D

Posted on Friday 9 November 2018 by Steve Phillips | Chief Financial Officer

As is usual, politics took centre stage following the 2018 Budget. Labour was under scrutiny after the Shadow Chancellor, John McDonnell, indicated that, unlike his boss, he would not oppose the government’s personal tax changes. In the Times, leading economist David Smith noted that while the budget ‘must be judged as a political success,’ the level of public debt continues to be a cause for concern.

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Innovation statistics: the government could do better says GovGrant

Posted on Monday 1 October 2018 by Luke Hamm | Chief Executive Officer

The Chancellor has announced that Budget day 2018, one of the busiest news days in the financial calendar, will be earlier than expected, on 29 October.

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New government tax stats boost innovative UK businesses

Posted on Thursday 27 September 2018 by GovGrant

The government is giving more of a boost than ever before to the UK’s most innovative companies, according to the latest full-year statistics from HMRC.

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