For the larger companies out there who have been busy developing new products – this is for you
The Australian Government’s R&D Tax Incentive helps eligible businesses with a generous tax offset of some of the costs of doing R&D. It aims to help innovative businesses to do R&D and is open to firms of all sizes conducting eligible R&D activities in all sectors. View a snapshot of the R&D Tax Incentive for an overview of the program, including eligibility criteria.
Provides a tax offset for some of a company’s cost of doing eligible research and development (R&D) activities by reducing a company’s income tax liability. Tax offsets of 43.5% or 38.5% are available for costs incurred on eligible activities depending on a company’s annual aggregated turnover. The 43.5% benefit is a refundable offset.
Who can apply:
At a minimum, applicants must:
- Be an incorporated company.
- Be conducting eligible core R&D activities. These are defined in the legislation as being experiments that are guided by hypotheses and conducted for the purpose of generating new knowledge.
- Have incurred eligible R&D expenditure or notional deductions of at least $20,000 (unless using a Research Service Provider or a Cooperative Research Centre).