R&D Tax Credits and Compliance: Why Compliance & Diligence Matters More Than Ever

In the UK, R&D tax relief is a vital incentive for innovative companies. It rewards businesses pushing scientific or technological boundaries with valuable tax savings or cash credits. But with HMRC’s ever-evolving guidelines and increases in its scrutiny of claims, compliance is now the single most important factor in safeguarding your business benefit.

The reality? Poorly prepared submissions risk delays, claim reductions, or penalties, even for genuine R&D work. That’s why RD Tax Group has built compliance into the heart of everything we do.

It’s also why in the past 18 months, our clients have experienced a less than 3% enquiry rate, and every single enquiry has been resolved with no reductions or alterations by HMRC.

The Market Problem: Why Compliance Gets Overlooked

The R&D tax relief market has exploded in recent years, attracting a mix of highly skilled advisors and less diligent operators; even well-known accountancy practices have failed in their approach to this specialised area of technical knowledge and delivery. In the race to win clients, some providers:

• Inflate qualifying costs or projects beyond HMRC’s rules.
• Use generic technical write-ups that fail to provide evidence of genuine R&D.
• Submit claims with little to no internal quality assurance.
• Leave clients exposed to unnecessary HMRC scrutiny.

The consequences can be costly and, in extreme cases, reputationally damaging. At RD Tax Group, we’ve taken a different path.

Our 5-Stage Quality Assurance Process

We don’t just prepare claims — we fortify them. Every submission passes through a 5-stage Quality Assurance process, ensuring it is compliant, accurate, and capable of withstanding rigorous HMRC review.

Stage 1 — Peer-to-Peer Review Technical narratives and cost analyses are reviewed by our experienced team against HMRC guidance and industry best practice to verify technical merit and cost allocation.

Stage 2 — Head of Delivery Review Our Head of Delivery assesses the company’s current and potential tax position, ensuring the R&D claim delivers an optimised & legitimate benefit.

Stage 3 — Head of Compliance Review We review project details, technological uncertainties and outcomes. This includes independent QA checks, grammar/vocabulary improvements, and a plain-English reading so HMRC’s reviewers clearly understand the work undertaken.

Stage 4 — Client Verification Our Clients will always review the final technical report and cost breakdown to confirm that it accurately reflects their R&D work and the merits of what they sought to achieve.

Stage 5 — Chartered Accountant Final Check Our in-house Chartered Accountants check every figure across the entire tax return, not just the R&D section, ensuring total accuracy and compliance in every submission.

Proven Results

While many advisors judge success by the size of a claim, we measure ours by accuracy, compliance and client protection:

• Less than 3% enquiry rate in the last 18 months.
• 100% of enquiries resolved with zero HMRC reductions or alterations.
• Every claim is prepared to withstand even the most detailed HMRC investigation

This means you can access the R&D benefit you’re entitled to without the stress of HMRC disputes.

Why Compliance is Your Best Defence

HMRC’s compliance teams are there to ensure the system is used correctly. That’s why partnering with a specialist advisor who understands the latest legislation, applies rigorous QA processes and values defensibility over shortcuts is essential. RD Tax Group proactively engages with HMRC to ensure that our technical and cost analysis, as well as report preparation, consistently meet their expectations. We provide a number of voluntary disclosures of reports to HMRC on a monthly basis to ensure that our processes and quality remain vigilant.

At RD Tax Group, compliance isn’t a tick-box exercise; it’s our competitive advantage. We work to protect not just your R&D benefit, but your time, your finances and your reputation.

Talk to the R&D Compliance Specialists

Don’t leave your R&D tax claim to chance. Work with the team that has achieved an industry-leading enquiry rate and a flawless HMRC record.

Call us today on 01744 802 004
Email: info@rdtax.ltd
Visit: www.rdtax.ltd