R&D Tax Grant Service
Discussion
DSLiverpool said:
EddieSteadyGo said:
Makes sense - and thanks again for starting the thread. I had entirely missing this and it is definitely worth exploring further.
Just watch the hmrc reclaim terms, will they defend it, will they refund their costs etc.ETA : just checked on this point. They say if there is a subsequent reduction in the tax credits after the point at which they had been agreed, the firm will refund the portion of their fee in proportion to the reduction in tax credit.
Edited by EddieSteadyGo on Friday 24th August 11:23
DSLiverpool said:
Just watch the hmrc reclaim terms, will they defend it, will they refund their costs etc.
We are entitled to these R&D tax credits and inundated with firms offering their services. Its all no win no fee type of stuff BUT my concern is your awarded it, pay the fees and then 12 months down the line HMRC try to reclaim it and your back in the trenches incurring more fees and the original company are long gone.jonamv8 said:
We are entitled to these R&D tax credits and inundated with firms offering their services. Its all no win no fee type of stuff BUT my concern is your awarded it, pay the fees and then 12 months down the line HMRC try to reclaim it and your back in the trenches incurring more fees and the original company are long gone.
That’s why I chose the company I did, no other company could demonstrate a successful track record of this aspect which I know is the kicker hence I did my Due DilThat's not quite how it works.
You submit your information and HMRC then make an assessment on the info you provide and calculate any credit. Clearly you can put your info in the best light possible.
However, so long as you provide accurate and complete information it is HMRC making the assessment, not you - therefore there is no opportunity for them to come back later and change their view - so long as the info you supply is complete and correct.
You submit your information and HMRC then make an assessment on the info you provide and calculate any credit. Clearly you can put your info in the best light possible.
However, so long as you provide accurate and complete information it is HMRC making the assessment, not you - therefore there is no opportunity for them to come back later and change their view - so long as the info you supply is complete and correct.
Bit of a thread resurrection but thought would be useful to give an update.
Despite all my good intentions to get this sorted last year, I've only just got round to it. My accountant was adamant that no R+D claim would be possible, but using a specialist firm we have today submitted a claim to HMRC for £60k.
We will have to wait 28 days to see if the claim is approved. If it goes through, the firm who prepared the claim will keep 20% of the total, so we will receive around £48k. But having been through the process, I couldn't have done it properly without them.
I genuinely had no idea before I read this thread that such a claim was even possible, so I'm hoping others come across it and are able to get some value for their business too.
Despite all my good intentions to get this sorted last year, I've only just got round to it. My accountant was adamant that no R+D claim would be possible, but using a specialist firm we have today submitted a claim to HMRC for £60k.
We will have to wait 28 days to see if the claim is approved. If it goes through, the firm who prepared the claim will keep 20% of the total, so we will receive around £48k. But having been through the process, I couldn't have done it properly without them.
I genuinely had no idea before I read this thread that such a claim was even possible, so I'm hoping others come across it and are able to get some value for their business too.
DSLiverpool said:
It won’t be 28 days they are 5 weeks behind.
Did you use Leytons ? They have a claimback service if the grant is queried in future.
You could be right about the longer timeframe. I used Forrestbrown who I've found to be excellent so far. I'm very appreciative you started this thread as, if we do end of getting circa £48k, it will be a nice addition to our year-end result.Did you use Leytons ? They have a claimback service if the grant is queried in future.
Mr Overheads said:
The number of clients I struggle to convince to try using a specialist firm rather than rely on their accountant. Most general accountants don't have a clue about the benefits of R&D specialists.
I can vouch for this….I have my own 3-D printer for ideas and possible patents. It wasn’t cheap, so I wanted my VAT back, easily done, and some R&D tax credit if possible. A patent agent wasn’t cheap at £825 for an afternoon’s visit either. This is a decent slice out of a one-man band operation.
I went to the accountant’s offices to sign off year end accounts and raised the total lack of any evidence on a line somewhere towards R&D tax credits. Or at least some evidence that they had attempted it. Nothing. Zilch. Nada.
Despite never having done this work for any other clients of theirs at any time (their words) - They didn’t think it was possible for me and the business, so that was that in their eyes, nothing.
So that was the final straw for my business with them, difficult as one of the senior partners is a family friend.
New accountant said, “it’s not a field I’m familiar with but that doesn’t mean I can’t get someone more experienced to look at it”. So that’s underway now. He also saved me £2k+ on my personal tax bill.
If it’s possible to go back a few years, I’ll be getting the new accountant to investigate again.
bucksmanuk said:
I can vouch for this….
I have my own 3-D printer for ideas and possible patents. It wasn’t cheap, so I wanted my VAT back, easily done, and some R&D tax credit if possible. A patent agent wasn’t cheap at £825 for an afternoon’s visit either. This is a decent slice out of a one-man band operation.
I went to the accountant’s offices to sign off year end accounts and raised the total lack of any evidence on a line somewhere towards R&D tax credits. Or at least some evidence that they had attempted it. Nothing. Zilch. Nada.
Despite never having done this work for any other clients of theirs at any time (their words) - They didn’t think it was possible for me and the business, so that was that in their eyes, nothing.
So that was the final straw for my business with them, difficult as one of the senior partners is a family friend.
New accountant said, “it’s not a field I’m familiar with but that doesn’t mean I can’t get someone more experienced to look at it”. So that’s underway now. He also saved me £2k+ on my personal tax bill.
If it’s possible to go back a few years, I’ll be getting the new accountant to investigate again.
PM me your email I’ll get the guy who did ours to give you a shout.I have my own 3-D printer for ideas and possible patents. It wasn’t cheap, so I wanted my VAT back, easily done, and some R&D tax credit if possible. A patent agent wasn’t cheap at £825 for an afternoon’s visit either. This is a decent slice out of a one-man band operation.
I went to the accountant’s offices to sign off year end accounts and raised the total lack of any evidence on a line somewhere towards R&D tax credits. Or at least some evidence that they had attempted it. Nothing. Zilch. Nada.
Despite never having done this work for any other clients of theirs at any time (their words) - They didn’t think it was possible for me and the business, so that was that in their eyes, nothing.
So that was the final straw for my business with them, difficult as one of the senior partners is a family friend.
New accountant said, “it’s not a field I’m familiar with but that doesn’t mean I can’t get someone more experienced to look at it”. So that’s underway now. He also saved me £2k+ on my personal tax bill.
If it’s possible to go back a few years, I’ll be getting the new accountant to investigate again.
bucksmanuk said:
If it’s possible to go back a few years, I’ll be getting the new accountant to investigate again.
I believe you can go back up to 2 years, based on your company's financial year (so not the normal HMRC tax year). For example, based on today's date, if your financial year end was 31st July, you could go back to 1st August 2016 - 31st July 2017. However, using this example, after the 1st August, the oldest date you could claim would be the year starting 1st Aug 2017.
I was about to up date a thread I started on this last year that related to HMRC calling in previously paid out claims. But as this thread is here, I'll do so here.
Headline is: BE VERY VERY CAUTIOUS BEFORE CLAIMING.
We commissioned a company to handle our claim back in 2017. This resulted in one rebate of £18k and another a few months later of £7k. The latter was HMRC reviewing the original claim and determining that their original review was wrong and that we were owed the additional amount. Happy days!
However, last autumn, we were notified that HMRC were now reviewing our claim. Not just ours but all claims made over the past two years. Unbelievably, this is part of a pay-now-check-later policy. The strongly inferred message then from HMRC was to claim for everything and let them determine what's applicable. Our claim was particularly complex and the fact that we got the money in our account three weeks after application suggested that they hadn't properly assessed it.....but that was there problem, not ours. Or so we thought.
This has resulted in us having to reaffirm our original claim through having to explain the rationale behind the original explanation. I cannot tell you the PIA this has been.
We are not alone. HMRC is undertaking a blanket review that may result in the need to repay some or all of the original rebate.
There is evidence that shows in this matter HMRC are not acting accordance to their own guidelines. We have written to them on this point and also got our local MP on the case. If we are to repay the rebate, it would almost certainly be the end of our business as our market is in a temporary state of hiatus so we don't have the cashflow to send back £25k to the HMRC.
I've no issue with the company we commissioned and they are helping us a lot in this.
We're still in the middle of the process and I'll keep you informed. The issue is likely to grow and become more mainstream in the media, particularly if HMRC do in fact start clawing back money. For those that haven't yet submitted an application, I would suggest holding off until this is all resolved. Or, if you do get a rebate, stick it to one side and forget about it for a few years.
Headline is: BE VERY VERY CAUTIOUS BEFORE CLAIMING.
We commissioned a company to handle our claim back in 2017. This resulted in one rebate of £18k and another a few months later of £7k. The latter was HMRC reviewing the original claim and determining that their original review was wrong and that we were owed the additional amount. Happy days!
However, last autumn, we were notified that HMRC were now reviewing our claim. Not just ours but all claims made over the past two years. Unbelievably, this is part of a pay-now-check-later policy. The strongly inferred message then from HMRC was to claim for everything and let them determine what's applicable. Our claim was particularly complex and the fact that we got the money in our account three weeks after application suggested that they hadn't properly assessed it.....but that was there problem, not ours. Or so we thought.
This has resulted in us having to reaffirm our original claim through having to explain the rationale behind the original explanation. I cannot tell you the PIA this has been.
We are not alone. HMRC is undertaking a blanket review that may result in the need to repay some or all of the original rebate.
There is evidence that shows in this matter HMRC are not acting accordance to their own guidelines. We have written to them on this point and also got our local MP on the case. If we are to repay the rebate, it would almost certainly be the end of our business as our market is in a temporary state of hiatus so we don't have the cashflow to send back £25k to the HMRC.
I've no issue with the company we commissioned and they are helping us a lot in this.
We're still in the middle of the process and I'll keep you informed. The issue is likely to grow and become more mainstream in the media, particularly if HMRC do in fact start clawing back money. For those that haven't yet submitted an application, I would suggest holding off until this is all resolved. Or, if you do get a rebate, stick it to one side and forget about it for a few years.
DSLiverpool said:
This is widely known and the company we used will defend any challenge at no extra cost which is why we went with them.
They have never lost a claim they have submitted they say and err on the side of caution.
Yes - our company is doing the same. They have never lost a claim they have submitted they say and err on the side of caution.
What yours and mine won't do though is repay any rebate if that's what HMRC deem needed.
It's the veracity of HMRCs actions which have gone up several notches which is causing alarm.
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