If your business is thinking about claiming R&D tax relief for the first time, or if it has not made a claim in the last few years, there is now an extra step you need to be aware of. HMRC has introduced a rule that means some companies must tell them in advance before making a claim. This is called pre-notification.
It is a rule that can easily catch you out. If you miss it, you may not be allowed to claim at all, no matter how valid your work is. So if there is even a small chance you might be affected, it is worth getting clear on how it works.
Who needs to pre-notify and when
You will need to pre-notify if your company is submitting an R&D tax claim for an accounting period starting on or after 1 April 2023 and either this is your first time claiming or you have not claimed in the last three accounting periods.
Even if you have claimed recently, if your previous claim was turned down by HMRC or if it was for a period before April 2023 and the changes were submitted after that date, you may still be required to pre-notify.
The deadline is six months from the end of the accounting period you are claiming for. If your year-end is 31 March 2025, your last day to notify will be 30 September 2025.
What is involved in pre-notifying
To notify HMRC, you need to provide some basic details. This includes:
- Your company's tax reference
- The dates of the accounting period you want to claim for
- The contact details for the person leading on the R&D work
- A description of the nature of the R&D activity in broad terms
- The names of any advisers helping you
You do not need to provide technical reports at this stage. But the information still needs to be accurate and in line with the claim you plan to submit.
If you are not sure whether your work qualifies
Many businesses are unsure whether their projects count as R&D. The key tests are:
- Whether the work is trying to make a technical or scientific improvement
- Whether there is a clear uncertainty involved
- Whether someone experienced in the field could easily solve it
If not, and your work involves a process of testing and discovery, it may well qualify.
The important thing to remember is that submitting a notification does not lock you into making a full claim. If you are in any doubt, it is usually better to send the notification just in case. There is no harm in deciding not to go ahead later on. But if you miss the window, you will lose the opportunity altogether.
How we help
At Taxtek, we help businesses navigate these rules with confidence. If you are unsure whether you need to notify or whether your work qualifies, we can guide you through it. We believe in giving straight answers and making sure clients have the right steps in place from the start.
This pre-notification step may feel like just another bit of admin, but it is a vital one. Missing it can have serious consequences, and with support, it is easy to get right.
