HMRC sent over 2,000 nudge letters to R&D claimants this past January in an attempt to clampdown on rising fraudulent activities and errors in submissions.

Nudge letters are sent to ensure tax affairs are complete, up-to-date and to deter breaches of tax rules. The latest batch relate to R&D tax claims. 

Latest reports estimate that in 2021-2022 a staggering £469m was lost through R&D tax relief fraud, with fingers being pointed at rogue advisers and spurious claims.    

The nudge campaign is part of a wider ‘compliance enforcement activity’ and proves to be a stark warning to companies abusing the current R&D tax relief schemes. Those who receive a letter could face higher penalties if errors are subsequently found within their claims.

Talk with us

Done right, R&D relief remains hugely beneficial for qualifying businesses. Done wrongly, there may well be trouble ahead. Feel free to talk to our team about current claims and/or any historic concerns.

The Team

Our experienced and approachable team are on-hand to assist you, please get in touch below: