CIOT update for members on R&D compliance activity and HMRC engagement

This update summarises our recent engagement with HMRC in addressing the challenges arising as a result of the ‘volume compliance’ approach for enquiries into R&D tax relief claims. Members will be familiar with our letters to HMRC in July and December 2023 that formally set out our concerns. This year we have met with HMRC to focus on how we can work together to achieve the objectives of reducing non-compliance in the R&D tax relief regime, while minimising the ‘collateral damage’.

Members' input continues to be important to help inform and focus this work, so please continue to get in touch about issues that you are encountering in practice.