IFA responds to the HMRC R&D Tax Reliefs review consultation

Following engagement with members and industry experts, the IFA has responded to the HMRC R&D Tax Reliefs review consultation on a single scheme.

The IFA response represents SME and SMP interests, raising concerns that a single scheme would reduce R&D incentives for small businesses even further than the changes coming into force from April 2023, arguing in favour of continued access to tax relief for subcontracted R&D, and rejecting the proposed reintroduction of a minimum value threshold for R&D relief claims.

The IFA also challenged the proposed timeline for implementation from April 2024, as falling too close to the incoming April 2023 changes and posing an unnecessarily challenging deadline for SME and SMP accountants to comply and communicate the impact of further changes to their clients.

Read the full representation.