HM Revenue and Customs (HMRC) have arrested eleven people across the country on suspicion of tax relief fraud following raids at a number of locations, including the Union Building in Norwich where Green Jellyfish and Kirby and Haslam are located. These companies were targeted as part of a coordinated operation to tackle potential abuse of the research and development (R&D) tax relief system, designed to support companies investing in innovative science and technology projects. While HMRC did not confirm the names of the businesses raided, both Green Jellyfish and Kirby and Haslam stated that they had nothing to hide.
Eyewitnesses in Norwich reported encountering HMRC officers on the day of the raids, with personnel stationed on each floor of the Union Building preventing entry to certain areas. Individuals arriving at the building were questioned about their affiliations and warned against proceeding upstairs. Several eyewitnesses noted a significant police presence at the premises throughout the day and described being approached by officers upon entering the building. Green Jellyfish and Kirby and Haslam are both situated within the Union Building, with the former known as a number of companies registered at the same address and the latter connected to businessman Sotiris Christophi.
Jonathan Smith, the director responsible for agent compliance at HMRC, emphasized that these arrests were just one aspect of a broader effort to combat potential R&D fraud. Smith highlighted the commitment to supporting honest businesses and their agents in claiming entitled tax reliefs, urging anyone with information about tax fraud to report it to HMRC online. Businesses can leverage R&D expenditure to reduce their tax bill or claim payable cash credits, with Kirby and Haslam stating that they welcomed the investigation and would continue to fully cooperate as they had nothing to hide. Similarly, Green Jellyfish expressed cooperation and support for HMRC’s investigation, affirming that they had nothing to hide and recognizing the necessity of the agency’s work.
