Are you 'tinkering' in the shed and changing the design, efficiency or perhaps function of a piece of machinery or equipment you use everyday in your business?
Are you looking for new ways to improve shelf life, increase yield, reduce waste, eliminate spoilage, improve packaging and improve transportation methods? What about new or improved feeding or breeding methods for animals?
If so, then you may be eligible to claim for research and development (R&D) activities under the Australian Government's R&D Tax Incentive Program, entitling your business to either:
- A 45% refundable tax offset for eligible entities with an aggregated turnover of less than $20 million per annum; or
- A non-refundable 40% tax offset for all other eligible entities.
What is the R&D Tax Incentive?
The R&D Tax Incentive is one of the Australian Government's key strategies to encourage industry investment in research and development. Activities that are generating new knowledge, new or improved products, devices, materials, services or processes may be eligible to be registered under this program.
The R&D Tax Incentive is jointly administered by AusIndustry (on behalf of Innovation Australia) and the Australian Taxation Office (ATO). Innovation Australia is primarily responsible for administering the technical eligibility and registration of R&D activities.
Annual registration of R&D activities with Innovation Australia is a prerequisite for companies claiming the R&D Tax Incentive. Registration of claims for the R&D Tax Incentive can take place up to 10 months after the financial year in which the R&D activities took place. This means that companies who wish to apply for the R&D Tax Incentive for the 1 July 2013 to 30 June 2014 financial year must lodge their registration application by 30 April 2015.
How we can help you?
Many businesses are missing out on the government incentive for informal R&D simply because they aren't aware that what they are doing may be eligible for the program. Providing advice to you on what activities in your business will be eligible, and helping you understand the business benefits and key features of the offset, is what we do best. We work with our clients across all facets of their business to:
- Identify and understand all levels of innovation in their businesses;
- Provide advice on how to best manage their innovations for efficiency and results; and
- Ensure they are claiming their full tax offset entitlement and leveraging R&D spend in the best possible way.
Our team of R&D advisors and consultants can assist your business to:
- Identify eligible R&D activities;
- Compile the necessary technical information;
- Prepare detailed R&D expenditure information;
- Calculate your entitlement to additional tax deductions; and
- Complete and lodge your application.
Our expertise and industry experience
Moore Stephens Queensland has an exclusive relationship with the Impact Innovation Group, a speciality innovation management company that assists businesses in R&D strategy and management, as well as innovation management and technology commercialisation.
Together we can provide your business with the technical and accounting expertise required to develop your 'next generation' of competitiveness and ensure you maximise your R&D Tax Incentive claim to assist in funding your business operations.
We have a strong history in preparing successful claims that generate new knowledge through agriculture, horticulture, aquaculture and environmental experimentation. Our first hand experience in working in and with these industries includes:
- Crop improvement and biotechnology
- Novel pest management strategies and devices
- Novel chemistries and chemistry applications
- Crop production and biomass efficiencies
- Food processing improvements and automation
- Pre and post-harvest plant and equipment applications
- New breeding techniques and feed improvement
- Precision agriculture and animal tracking and monitoring technologies
- Environmental rehabilitation and bioremediation
- Software applications and mobile technologies
- Biofuel production and processing development
- Cotton, grain and livestock exports and feedlot management
This publication is issued by Moore Stephens Australia Pty Limited ACN 062 181 846 (Moore Stephens Australia) exclusively for the general information of clients and staff of Moore Stephens Australia and the clients and staff of all affiliated independent accounting firms (and their related service entities) licensed to operate under the name Moore Stephens within Australia (Australian Member). The material contained in this publication is in the nature of general comment and information only and is not advice. The material should not be relied upon. Moore Stephens Australia, any Australian Member, any related entity of those persons, or any of their officers employees or representatives, will not be liable for any loss or damage arising out of or in connection with the material contained in this publication. Copyright © 2014 Moore Stephens Australia Pty Limited. All rights reserved.