Tax Incentives For Businesses on R & D

Are you aware of R & D tax incentives that can help drive innovation and value for your business? If your business engages in activities designed to improve a product or service that you take to market, you may be eligible for lucrative cash refunds for expenditure on core and supporting R & D activities.  We have compiled the below tips for ensuring you don’t miss out on these potential tax benefits.

  • Increased cash refunds for smaller companies in a tax-payable position may be eligible R&D expenditure strengthening the business case for claiming eligible R&D activities;
  • The Australian R&D tax regime covers the full spectrum of R&D activities that may be overlooked as they are sometimes ‘business as usual’ from a commercial perspective. Pure research, applied research and experimental development are activities covered in the regime, refer to the AusIndustry eligibility guide here;
  • Expenditure that supports R&D activity including direct and indirect costs incurred throughout the life of a project may also be eligible;
  • Relaxed rules relating to software development R&D claims and international arrangements, as well as subsequent intellectual property (IP) being held offshore which may result in benefits for software development companies, as well as Australian subsidiaries carrying out contract R&D on behalf of an international parent company.

For more information, please contact our team to discuss how you may be able to take advantage of R&D incentives.

Disclaimer of Liability

Our firm provides the information in this blog for general guidance only and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.