Overseas activities

Expenditure for activities that have occurred outside of Australia are only eligible if they meet three sets of conditions:

  1. the overseas activity has a significant scientific link to Australian core activities
  2. the overseas activity cannot be conducted in Australia or the external territories because:
    • conducting it requires access to a facility, expertise or equipment not available in Australia;
    • conducting it in Australia would contravene a law relating to quarantine;
    • conducting it requires access to a population (of living things) not available in Australia; or
    • conducting it requires access to a geographical or geological feature not available in Australia.
  3. the total overseas expenditure is less than the total expenditure on the related activities conducted in Australia (<50% R&D is overseas over the duration of the project).

To assess if the activities meet these conditions, an advance finding must be sought before the end of the first year within which the overseas expenditures will be incurred.

The certificate number for the advance overseas finding needs to be included in the application alongside the description of the activities. If the finding is not received in time for the application to be submitted, then the activities must be described, but the expenditure should not be claimed in the tax return until a positive finding result is received.