IF YOU are engaging in health innovation where the core activities are experimental, based on science and conducted for the purpose of generating new knowledge, devices or processes you may be eligible for tax offset incentives.
The Research & Development (R&D) Tax Incentive is part of the Federal Government’s support for Australia’s innovation system.
It aims to encourage industry to undertake R&D activities and has two key components:
- A 45% refundable tax offset to eligible entities with an aggregated turnover of less than $20 million per annum
- A non-refundable 40% tax offset to larger eligible entities.
AusIndustry, on behalf of Innovation Australia, monitors scheme applications and compliance. The Austalian Tax Office determines the eligibility of expenditure claimed in the entity tax return.
Companies interested in the program should register eligible R&D activities with AusIndustry. AusIndustry has a R&D Tax Incentive Online Eligibility Tool to help determine if your organisation might be eligible to apply.