R&D Tax Incentive amendments

Following the May budget announcement, amendments to the R&D legislation have now been incorporated into a Bill (Making Sure Foreign Investors Pay Their Fair Share of Tax in Australia and Other Measures) to be discussed on October 15. For a further analysis of these amendments click here.

The bill incorporates the changes raised in the July proposed amendments to legislation, and if passed, may have the following affects:

• Introduction of a $4m refund cap on the tax offset.
• Introduction of intensity of R&D expenses as a percentage of total expenditure.

Government Grants

There are a number of state and federal government grants available that you may be eligible for. Saving Point may assist with the preparation, review and registration of these grants. This month’s edition introduces the AMESRF funding program.

Advanced Manufacturing Early Stage Research Fund (AMESRF)

The Advanced Manufacturing Growth Centre (AMGC), offers funding through the AMESRF program, aiming to “boost innovation, skills and employment in advanced manufacturing”. The grant is non-competitive, and supports SMEs and small-scale research projects in advanced manufacturing and early stage research. The program supports collaboration between SMEs and other research, industry or other parties. The fund offers matched funding up to 50% of eligible project costs, and ranges between $100,000 – $400,000. In order to be assessed for funding the following merit criteria must be addressed:

Eligibility – Merit criteria

• Technology Readiness Level.
• Alignment with AMGC’s Knowledge Priorities for business.
• Demonstration of Advanced Characteristics. including advanced knowledge, processes or business models.