R&D Tax Incentive
premium + company tax rate
For up to 2% R&D intensity
For above 2% R&D intensity
Research and Development Tax Incentive
The R&D Tax Incentive provides the benefit through a tax offset calculated based on the expenditure a company incurs on activities eligible as research and development. This incentive is designed to boost company competitiveness, improve productivity and ultimately stimulate the national economy, with its flow on effects.
Benefits of R&D Tax Incentive
For activities carried out since 1st July 2021, there have been important changes to the R&D Tax Incentive. It is crucial to have a strong understanding of the legislative changes and how they apply to your specific needs.
Eligible businesses are now entitled to the following benefits:
Refundable tax offset
For companies with an aggregated turnover of less than $20 million
A premium of 18.5 percentage points + company tax rate. For companies with a group turnover under $20 million
Non – refundable tax offset
For companies with a group turnover of $20 million and above.
Rates are dependent on the incremental intensity of the R&D expenditure:
For up to 2% R&D intensity: 8.5% for R&D expenditure + company tax rate. For above 2% R&D intensity: 16.5% for R&D expenditure + company tax rate.
Why Saving Point?
Our experienced team of consultants, with a high degree of practical knowledge in R&D processes and compliance standard, will dedicate their expertise to your R&D Tax Incentive application, offer a detailed analysis of your eligible R&D projects, and simplify the process of applying and receiving the rebates from the R&D Tax Incentive.
Our specialised consultants will liaise with you to identify all eligible R&D projects and expenditures as well as investigate compliance with eligibility requirements.
Prepare all the information and materials required in the registration process for you. We prepare technical reports based on supporting documentation and interviews conducted.
Calculate your eligible R&D expenditure and maximise the benefit you receive from the R&D tax incentive, whilst achieving complete compliance with the ATO.
Document the entire process and provide you with a final report related to both the technical and financial components of your R&D Tax Incentive claim for your record keeping.
Assemble all the documentation required by AusIndustry and the ATO for strong application submission.
We are confident and committed in assisting you through the process of any potential review, audit or future grants, outside of the R&D Tax Incentive.
Are you an incorporated Australian entity?
Are you developing something that is new or improved (product, system, tool, etc)?
Does your development involve experimentation?
Do you need to overcome a knowledge gap as part of your development?
Will your development result in the generation of new knowledge?
What are the costs you can claim? Eligible expenditure items can include:
Salaries and superannuation for project staff
Australian-based consultants, researchers or contractors
Prototype build and production trial development
Preparing a claim for the R&D Tax Incentive can be an onerous task. The Saving Point team is well versed on all eligibility requirements and confident in solving and advising on any potential issues. Ultimately, this expertise allows you to maximise your benefit, whilst achieving complete compliance.
Companies claiming the R&D Tax Incentive may engage in R&D activities that produce marketable or usable goods. If these tangible products are used or supplied to another entity, a feedstock change may be required.
As part of the R&D Tax Incentive, companies incurring expenditure to an associate may be eligible to claim an R&D tax offset for that amount, if the amount owed has been paid to the associate within the year of the claim.
If you aren’t controlled by an exempt entity, you must work out your aggregated turnover to identify which tax offset you can claim. The rules for calculating aggregated turnover are the same as those for the small business entity concessions.
To begin your R&D Tax Incentive Online Application process, select the service below that best suits your needs. The information you provide will be reviewed and assessed by one of Saving Point’s R&D experts.
In order to register for and claim the R&D Tax Incentive, you will need to determine your eligibility for the program.
Start your own R&D application and let our experts review it and give you confidence in your R&D claim.
Let our experts prepare your claim from start to finish. We’ll save you time and ensure a compliant claim with maximum benefit.