Ask the Collective
The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.
What are HMRC's current enforcement patterns for R&D tax relief claims, and are they reviewing claims retroactively?
HMRC's approach to R&D tax relief has shifted significantly and enforcement activity is increasing, particularly for claims submitted from 2020 onwards. **Current enforcement patterns:** - Among claims submitted for 2020 and later, the majority (13 votes) have been paid without challenge, but a material minority (4 votes) have been subsequently challenged by HMRC and are currently being fought, with at least one claim already overturned (1 vote) - For pre-2020 claims, challenges are rarer (1 vote challenged out of 11 total) but members note this may reflect "yet" rather than definitive safety - HMRC's stated basis for challenges includes narrower interpretation of what qualifies as "Science & Technology" — rejecting claims where the technology, whilst genuinely uncertain, isn't deemed groundbreaking enough **Shift in advisor stance:** - Professional advisors are now warning members off new claims. One accountant's explicit guidance: "unfortunately we do not believe that the claim would satisfy the definitions of R&D for tax purposes in the current climate. If HMRC were to reject a claim for the 22/23 financial year, they have the ability to impose penalties and review previous claims. As such, we would not want to process any new R&D claims." - Members describe previous claims that "would have qualified without issue" now carrying unacceptable risk **Member sentiment:** - "The glory days are over" - Perception that HMRC is "going after small companies who they can bully into repaying" while larger firms remain unchallenged - Members are actively choosing not to submit claims due to penalty risk, even for work that previously qualified **Caveat:** This reflects community experience to date; the pattern of retroactive review of earlier years (2019 and before) is still emerging.
What regulatory requirements must UK RTD cocktail brands meet to legally use tequila in their products?
The Tequila Regulatory Council (TRC) is actively enforcing strict rules on tequila use in ready-to-drink cocktails in the UK market. Brands are being contacted directly and required to comply or face enforcement action. **Key requirements:** - **CRT (Consejo Regulador del Tequila) authorisation** is mandatory for any brand using tequila in RTD cocktails. Without it, you cannot legally use the product or the term "tequila" in marketing. - **Affidavit requirement**: Brands being contacted are being asked to sign an affidavit confirming they will cease using tequila in cocktail formulations and remove tequila terminology from social media and marketing materials if they do not have authorisation. - The TRC is treating this as a priority enforcement area in the UK, where many brands are currently non-compliant. **Practical next steps:** - Contact the TRC early to understand your specific product's compliance status and to explore obtaining authorisation if needed. - Members recommend speaking with experienced contacts who have navigated this process (e.g., Nav Grewal at Vivir Tequila has recent direct experience with TRC discussions and can advise). - Do not assume existing tequila RTD products are compliant; the TRC has been enforcing these rules in other markets (notably Australia) and is now targeting the UK. **Warning**: Being blacklisted by the TRC carries serious commercial risk. Brands that do not comply face potential removal from retailer shelves and legal action.