Status: The R&D Tax Incentive applies to research and development activities and expenditure in income years commencing on or after 1 July 2011.
Description: The R&D Tax Incentive provides a targeted tax offset designed to encourage more companies to engage in research and development in Australia.
The R&D Tax Incentive has two core components:
- a 45 per cent refundable tax offset (equivalent to a 150 per cent deduction) to eligible entities with an aggregated turnover of less than $20 million per annum
- a non-refundable 40 per cent tax offset (equivalent to 133 per cent deduction) to all other eligible entities.
Applications for registration of activities undertaken in the 2011-12 income year will open on 1 July 2012.