You may not know it, but in your business, you are researching and developing all the time! It is often well into the research stage before you realise that you are actually undertaking a Research and Development (R&D) activity.
It is important to understand when you are conducting an R&D activity and whether any tax incentives are available to you.
Under current rules, the ATO R&D Tax Incentives available are as follows:
| If… | Then… |
Both of the following apply:
|
You can claim the 45% refundable tax offset |
One or more of the following apply:
|
You can claim the 40% non-refundable tax offset |
The basic requirements of receiving any government tax incentives include:
- You must be a Company
- You must check your eligibility and register your business prior to making a claim for the R&D tax incentive
For more specialist advice, Ellco Group works closely with Stuart Hazell from Fusidium Pty Ltd. Stuart has over 35 years experience in research, consulting and senior management and is available to advise you in all aspects of planning your research as well as applying for grants and tax incentives.
Once the year is over, Ellco Group will then assist with preparation of your Company Tax Return to ensure any R&D tax incentives are included and credited to your Company.