R&D tax round-up of 2019

The Research & Development Tax Incentive (R&DTI) is a benefit under the tax laws for companies undertaking certain activities that meet legal definitions of R&D. For eligible entities, the expenditure on those activities is calculated and declared as part of the company tax return each year.
For companies with an aggregated turnover of <$20m the R&DTI provides a refundable offset equivalent to 43.5% of the eligible expenditure.
Companies that have an aggregated turnover of $20m or more, receive a 38.5% non-refundable offset on eligible R&DTI expenditure up to $100m (this will change in FY22 to a tiered scheme).

That offset reduces the company tax due. The company tax due will have been increased because the R&D expenditure is deducted from being a nominal expenditure, so the net benefit is the difference between the normal company tax rate, and the R&DTI offset rate.

The Research & Development Tax Incentive (R&DTI) is a benefit under the tax laws for companies undertaking certain activities that meet legal definitions of R&D. For eligible entities, the expenditure on those activities is calculated and declared as part of the company tax return each year.

For companies with an aggregated turnover of <$20m the R&DTI provides a refundable offset equivalent to 43.5% of the eligible expenditure.

The Research & Development Tax Incentive (R&DTI) is a benefit under the tax laws for companies undertaking certain activities that meet legal definitions of R&D. For eligible entities, the expenditure on those activities is calculated and declared as part of the company tax return each year.

For companies with an aggregated turnover of <$20m the R&DTI provides a refundable offset equivalent to 43.5% of the eligible expenditure.
Companies that have an aggregated turnover of $20m or more, receive a 38.5% non-refundable offset on eligible R&DTI expenditure up to $100m (this will change in FY22 to a tiered scheme).

That offset reduces the company tax due. The company tax due will have been increased because the R&D expenditure is deducted from being a nominal expenditure, so the net benefit is the difference between the normal company tax rate, and the R&DTI offset rate.

The Research & Development Tax Incentive (R&DTI) is a benefit under the tax laws for companies undertaking certain activities that meet legal definitions of R&D. For eligible entities, the expenditure on those activities is calculated and declared as part of the company tax return each year.