RESEARCH & DEVELOPMENT TAX INCENTIVE

Research & Development Grant

The R&D tax Incentive is a premium government incentive created to promote innovation in Australia. The Australian government recognises the importance of innovation in the economy and therefore has created an incentive to reward entities doing eligible R&D activities.

The incentive has a refundable (cash-back) and a non-refundable (tax-saving) attribute.

Check your eligibility

Only companies that have spent $20,000 or more on eligible R&D activities may be entitled to the incentive

Who are the regulators?

AusIndustry and the Australian Taxation Office (ATO) undertake risk assessment and compliance reviews. AusIndustry's compliance work focuses on the eligibility of research and development (R&D) activities while the ATO's compliance work focuses on the R&D tax offsets allowable in respect to those activities. 

What is the benefit?

43.5% refundable (cash) tax offset to eligible entities with an aggregated turnover of less than $20 million per annum.

38.5% non-refundable tax offset to all other eligible entities.

What are the criteria?

  • Non-tax exempt corporation that is incorporated in Australia
  • Undertaking R&D activities in Australia

When can you submit?

If your company is a R&D entity and you want to claim the R&D Tax Incentive in you company's income tax return, you must first register your R&D activities with AusIndustry (on behalf of Innovation Australia).

You must register your R&D activities:
  • For every income year you want to claim the offset
  • Within 10 months of the end of your company's income year
  • Before you lodge your company income tax return in which you are claiming the offset

What sectors are eligible?

CHECK R&D ELIGIBILITY NOW
To find out more information on what you can claim within these categories, click here to download an information pack.
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