What is the R&D Tax Incentive?
How can I make a successful application?
Your Questions Answered
Most people who have done some research into the R&D Tax incentive know the basics – it’s a rebate you get for developing new products and services. It allows you to claim back up to 43.5% of the costs related to research and development.
The main issue businesses have when they apply for the grant is that the Goverment’s definition of what constitutes eligible R&D for this incentive is very different from the usual business definitions.
The paperwork can be very confusing, and it changes every time in ways that make it harder to succeed – 2022 is no different. This year it’s more likely than ever that you’ll need expert assistance to make a successful application, and avoid the pitfalls of an audit (which, remember, can affect not just this year’s application but any you have done in the past, with a 50% payback penalty on top of all money received hanging over your head.)
Your time is valuable, and so is mine – which is why I only work with businesses that are well placed to succeed with this application (Assuming you’re clever enough to get my help with it!). Give me a call on 1300 658 508.
How does the R&D tax incentive work?
You need to undertake eligible R&D activities that involves research and experimentation.
You also need to:
- spend over $20,000
- operate as company (no trusts, partnerships, sole traders)
- undertake R&D activities in Australia
How do I claim R&D tax relief?
In order to claim the R&D tax incentive, you need to lodge an Activity Registration every year that describes your R&D work.
You will be asked to break down your R&D experiment into two key components:
- Outcome – whether an expert could predict the outcome in advance
- Purpose – the R&D is conducted for the purpose of generating new knowledge
It all starts with one phone call. 1300 658 508
Timing
For the 2021/22 financial year (1 July 2021 to 30 June 2022), the deadline to submit a registration application is 2 May 2023, which is the first business day following the weekend and a public holiday in some parts of Australia.
Applications can only be submitted through the R&DTI customer portal. The portal will display the due date for your application, once you start a draft application. It is important to check your customer portal access now to ensure you can apply in time. You can apply earlier than 2 May 2023 if you have everything ready to go.
Tips for applying in 2023
- Save it – When completing your application in the customer portal remember to save your work regularly, the portal will not save this automatically
- Year – Ensure that you select the correct income year before starting your application. You will have to delete the draft application in the portal and beginning a new application for the correct income year. Ouch!
- Finding – If you have requested an overseas finding, and submit your registration application before the finding is made, include the overseas activities in your application (noting a finding has been requested).
How is the R&D tax credit calculated?
For most companies, the R&D tax incentive provides a tax rebate of between 18.5% to 43.5%.
So if you spend $100,000 on developing a new product, you could get back between $18,500 and $43,500 depending on the company revenue and profitability.
If you are in profit, you are likely to get an R&D tax offset rather than cash back.
See the R&D tax calculator for information.
What qualifies as R&D?
To be eligible for the R and D tax incentive, you need to ask yourself if what you are doing can be considered innovative in your field:
- Novel – Are you developing something that does not currently exist?
- Testing –Did you need to test the performance of what you are creating?
You could be:
- developing new software for the hospitality industry
- crafting bespoke solutions using raw materials
- engineering new devices for tracking and monitoring equipment.
How does the government define R&D?
This is how the government define research and development in the R&D tax incentive legislation:
“Core R&D activities are experimental activities whose outcome cannot be known or determined in advance on the basis of current knowledge, information or experience, but can only be determined by applying a systematic progression of work “
But, are you an expert?
The government want to know whether an expert could predict the outcome?
So, if you know what you are doing, then the R&D Tax Offset could be a good grant to go for.
Speak to an R&D tax incentive consultant for more information of how R&D grants work.
FAQ
You can only claim the R&D grant if you have a company. Typically this is a Pty Ltd company. Entities that are excluded are, individuals, partnerships and sole traders.
The R&D tax credit applies to companies earning over $20M. If there is no tax to pay, then the R&D tax credit will sit there like a carry forward loss and used in the future. There is no cash back.
The R&D tax offset occurs when the R&D rebate is offset against the tax that you owe. So, say you owe $100k in tax and your R&D rebate is worth $30k, then your tax payable reduces to $70k.
If you earn less than $20M and are in loss, then you will get a cash rebate.
The R&D tax offset is 18.5 % above the company's tax rate.
You get back between 18.5% and 43.5% depending on the available company losses
To qualify for R&D tax credit you must spend at least $20,000 on eligible R&D activities and operate a Pty. Ltd. company.
You have fat fingers.
An R&D grant is money you get back from the ATO for conducting eligible research and development activities. An R&D grant goes by many names including the R&D tax offset, R&D tax credit or R&D tax rebate. But they are all refer to the ATO R&D tax incentive.
This can be either in the form of cash back or a credit on the tax you need to pay.
The R&D grant ranges from 8.5% to 43.5%.
The R&D tax offset is not taxable. It operates like a tax refund.
But, you need to check a few things with your accountant like:
- Add back the expenses Label 7D in the Income Tax Return.
- Include the rebate amount in the franking credits
Your accountant will be able to assist further with this, or send me an email.
Under the R&D Tax Incentive program, eligible businesses can claim a tax offset for a portion of their eligible R&D expenses. The offset rates vary depending on the size of the company and its aggregated turnover.
The R&D Tax Incentive in Australia is a government program designed to encourage and support research and development activities conducted by eligible businesses. It provides tax incentives in the form of tax offsets or rebates to companies that engage in qualifying R&D projects, thereby promoting innovation and technological advancement in the country.
Eligible costs for R&D tax credits are those that have a direct relationship to the eligible R&D activities
You will get back between 18.5% and 43.5% of your eligible R&D costs depending on company profitabilty. Check out the R&D tax calculator to confirm
It is a form used to register research and development activities for the R&D tax offset. Read more
Resources
Here is some additional information that might help you out with the R&D tax incentive:
- R&D tax incentive calculator – determine your likely R&D tax rebate
- R&D tax incentive feedstock – how to work out the feedstock adjustment
- R&D tax incentive application – what is the activity registration all about
- R&D finance – what lenders can you give you an advance on your R&D rebate
- R&D Tax incentive consultant – how can an expert tax advisor help you with your claim
- R&D Tax Incentive record keeping – what can you do to keep better records
- R&D Tax Incentive e-learning course – brush up on your R&D knowledge
- Tax Incentive for Early Stage Investors – your investors can also get a deduction for giving you cash
How to get a 92 day extension. Thank me later
First Step
Once you can access your portal account, you can start to enter a registration application for the 2021/22 income year.
Second Step
Once you enter the minimum of information in your registration application, you may apply for an extension of time – even if the deadline for the application lodgement has passed, as long as it is before the maximum extension of time limit.
Explain in your time extension request that you requested the time extension via email before the statutory deadline, and reference this email.
Please note that the maximum extension of time that can be approved is 92 days (this year, that will be 2 August 2023). If it appears your ability to access the portal may delay submitting the registration application before the maximum extension deadline, please contact us before that deadline so we may provide assistance.
Introduction to the R&D Tax Incentive Webinar
If you want to learn more about the R&D Tax Incentive and how to self-assess your eligibility, please join representatives from the Australian Taxation Office (ATO) and AusIndustry for an information session.
The purpose of this webinar is to guide you through key program information that you need to understand before you apply. This includes an overview of eligible entities, activities and expenditure. It will also explain the application process and provide tips for records you should keep.
If you plan to conduct R&D, or are about to apply for the R&D Tax Incentive for the first time, we recommend that you attend one of these sessions.
Don’t miss out! Click your preferred date below to register now!
R&D Tax Incentive – Latest News
AusBiotech’s CEO, Lorraine Chiroiu, asserts that the Research and Development Tax Incentive (RDTI) has been “life-changing” for Australia’s biotech industry. A Deloitte Access Economics report, commissioned by AusBiotech, reveals a remarkable ROI, with $3.14 generated for every $1 of foregone tax revenue in 2021. The report emphasizes the significance of long-term commitment to policy levers, highlighting the RDTI’s pivotal role in fostering local industry growth. Chiroiu underscores the need for government consistency, cautioning against knee-jerk changes for economic stability. The RDTI, introduced in 2011, has proven especially beneficial for biotech, contributing to a fivefold increase in GDP impact from 2011 to 2021. The report recommends continued government support for the RDTI, reinforcing its value to the nation. With over 1400 companies, the Australian biotech sector, largely composed of SMEs, relies heavily on the RDTI, demonstrating a significant impact on the country’s innovation landscape.
Key Quotes:
- “There’s a story here that’s very important around long-term commitment to policy levers.” – Lorraine Chiroiu, AusBiotech CEO
- “This report gives some insight into the fact that knee-jerk changes are not good for anyone, particularly for the economy.” – Lorraine Chiroiu
- “It’s adding to the critical mass that’s really taking hold in our country.” – Lorraine Chiroiu
- “Biotech is an emerging industry in Australia, so a significant driver of growth is the creation of new firms with new innovations.” – John O’Mahony, Deloitte Access Economics Partner
The Australian Taxation Office (ATO) has recently updated the guidelines for the Research and Development (R&D) Tax Incentive, targeting specific integrity issues within claims. In an article by Philip King dated 31 October 2023, important clarifications were brought to light that could have significant implications for claimants. This post will summarise these changes and discuss their potential impact on businesses.
- The ATO has pinpointed concerns with R&D claims, particularly involving expenditures to associates, the nature of the R&D activities, and compliance with turnover and at-risk expenditure requirements.
- R&D costs can only be claimed in the year payment is made to associates, with strict criteria on what constitutes payment.
- The ‘conducted for’ rule specifies that R&D activities must be for the claiming entity, impacting who benefits, owns, and controls the R&D outcomes.
- A turnover cap of $20 million is specified, with certain exemptions, for entities controlled by exempt entities to qualify for the non-refundable tax offset.
- Overseas expenditures are claimable only with a positive finding from the Department of Industry, Science and Resources, stressing the importance of the activities being conducted within Australia.
- Expenditures not at risk, which are those expected to generate a direct or indirect financial return or are subsidised by grants or contracts, are excluded from the incentive.
These clarifications by the ATO serve as a crucial reminder for businesses to review their R&D tax incentive claims meticulously. It’s evident that the ATO is taking a more stringent approach to compliance, and this necessitates a robust understanding of the updated rules to avoid the pitfalls of non-compliance.
Staying abreast of these changes is vital for any business involved in R&D. For expert guidance through the complexities of the R&D tax incentive process and to ensure that your claims meet the ATO’s latest requirements, reach out to Bulletpoint. Contact us today to book a meeting, or send us a message to get started on securing your rightful benefits.
Recent reports have raised red flags about the practices surrounding R&D tax incentives, particularly concerning Scale Facilitation. An in-depth article by Ben Butler in the Herald Sun reveals that the company claimed to have insider rulings from the Department of Industry, Science and Resources that allowed it to claim overseas R&D spending for Australian tax refunds.
“Scale boasted it could secure rulings from the Department of Industry, Science and Resources allowing it to claim overseas R&D spending towards Australian tax refunds. The firm has set up at least 50 R&D vehicles, corporate records show,” reports Butler.
While the ATO couldn’t directly comment on Scale due to confidentiality obligations, their position on R&D tax incentive misuse is clear.
“The ATO will take the strongest action when people seek to abuse the R&D tax incentive, particularly where there is fake expenditure or no real R&D activities being undertaken,” an ATO spokesman stated, as highlighted by the Herald Sun.
Sean Johnson of Open Politics, also commented on the topic in a Michael West article, questioning the involvement of other companies like PWC in similar schemes. Johnson’s perspective further amplifies the need for rigorous checks and expert guidance in navigating the R&D tax incentive landscape.
“Sean Johnson of Open Politics brings forth the possibility of broader implications, hinting at the potential involvement of other companies like PWC,” reads the Michael West article.
“The department regularly conducts compliance activities but is bound by strict confidentiality obligations,” said a department spokesman, reported by Ben Butler.
The series of reports illuminates the complexities and potential pitfalls in the R&D tax incentive landscape. At Bulletpoint, we pride ourselves on providing expert advice to navigate these challenges. We have successfully lodged over 500 R&D claims, ensuring that our clients’ practices are compliant and optimized for their best interests.
For a comprehensive discussion on how to securely and efficiently claim your R&D tax incentives, schedule a meeting with us here or call us at 1300 658 508.
Recent interactions with AusIndustry’s R&D Tax Incentive compliance team have raised concerns about certain legislative interpretations made by its assessors. Notable positions adopted by AusIndustry regarding the R&D Tax incentive program include: the significance of the ‘outcome’ according to R&D Tax legislation pertains to the result of experiments conducted for core R&D activities. It’s required that the specific outcome sought by a core R&D activity be identified prior to the experiment.
Moreover, the hypothesis, which is often determined through experimentation, must directly relate to an outcome that cannot be anticipated based on current knowledge, information, or experience. The assessment known as the ‘competent professional test’ applies to this outcome, not allowing for predetermined knowledge. However, outcomes adversely affected by experimental variables aren’t considered part of the core R&D activity since unforeseen outcomes cannot be predetermined.
Even activities aimed at understanding variables’ effects on unexpected outcomes are excluded from the core R&D activity if the adverse outcome wasn’t predetermined. In case issues arise during experimentation, addressing these may qualify as supporting R&D activities under the ‘dominant purpose’ criterion, or necessitate a new hypothesis and core R&D activity.
If a competent professional claims that an experiment’s outcome cannot be foreknown due to existing knowledge constraints, detailed justification for this assertion is required beyond qualifications and experience. The concept of systematic progression of work encompasses activities from hypothesis formulation to experimentation, observation, evaluation, and logical conclusion for specific pre-identified outcomes.
Despite Administrative Appeal Tribunal (AAT) decisions challenging some of AusIndustry’s positions, these positions have solidified over time as they’re not bound by AAT decisions. This has led to inconsistencies between AusIndustry’s interpretations and the actual legislative framework, even though some AAT decisions contest these positions.
Are you ready for the approaching application deadline on 31st October? If your income year ended on 31st December 2022, it’s crucial to finalize your R&D Tax Incentive application via the customer portal by 11.59 pm (AEST) on Tuesday, 31st October 2023.
If you’re unable to submit your application before the deadline, it’s noteworthy that you have the option to request an extension of time through the customer portal prior to the application cutoff.
To support you through the application process, upcoming webinars will be available that cover the R&D Tax Incentive and provide guidance on navigating the customer portal.
In March 2023 as part of the state reference group, the Australian Taxation Office (ATO) unveiled an update to its website with new guidance content and improvements to functionality, reflecting the ATO’s ongoing commitment to clarity and compliance within the R&D Tax Incentive program. This update provides valuable insights into key areas of concern for the ATO, signalling a more nuanced focus on various aspects of the R&D claims process.
Payments to Associates – A Deep Dive into Issues
One critical area that has come under the ATO’s scrutiny is claims for payments to associates. A range of complex practices have been observed, leading to contention and potential non-compliance:
- Conversion to Loans: Payments converted to loans are not considered “made,” creating a disconnect in the claims process.
- ‘Round Robin’ Payments: These cyclical payments are returned so that the next payment can be made, creating a loop that does not align with accepted practices.
- Contingent Payments: Instances where loans are being used as contingent payments expected after an anticipated future event (e.g., listing on a stock exchange).
- Payment in Shares: The issuance of shares as payment, disallowed by Taxation Ruling TR 2008/5, has emerged as a significant concern.
Apportionment Rates for Overhead Expenditure Claims
The ATO has also identified issues with the use of one apportionment rate for all overhead expenditure claims (e.g., a percentage of the profit/loss statement). This method is seen as an estimate; a more appropriate calculation method should be used to apportion overheads specifically related to R&D.
Record Keeping – A Persistent Challenge
Consistent and accurate record-keeping continues to be a key issue for the program. Proper documentation is essential for compliance and supports the correct calculation of the incentive.
ATO Support and Collaboration
In response to these challenges, the ATO offers support to companies and consultants engaged in the R&D Tax Incentive program. They are open to queries and actively participating in stakeholder reference groups, reflecting a collaborative approach.
Conclusion
These updates signal a clear direction in the ATO’s ongoing effort to ensure integrity and compliance within the R&D Tax Incentive program. From nuanced payment issues to the overarching importance of record keeping, the ATO is actively addressing areas of potential complexity and confusion.
For those involved in the R&D Tax Incentive program, awareness of these focus areas is essential. Adherence to the ATO’s guidelines and active engagement with the newly updated resources will facilitate a smoother and more compliant claims process. As always, professional consultation with an R&D tax consultant, such as Bulletpoint, is advisable to navigate these intricate aspects of the R&D Tax Incentive program. For a personalised consultation, schedule a meeting at https://calendly.com/
Navigating the R&D Tax Incentive: Key Advice from the ATO
In a recent affirmation of the T.D.S. Biz Pty Ltd v Commissioner of Taxation [2023] FCA 710 case, the Administrative Appeals Tribunal (AAT) has set a new precedent for companies claiming an offset under the Research and Development (R&D) tax incentive program. Here’s a quick breakdown of the key takeaways:
Proper Documentation and Compliance As companies seek to leverage the R&D tax incentive, they must maintain detailed records and adhere to program requirements.
Overseas R&D Activities – The ATO Perspective TDS claimed that their R&D activities were conducted entirely within Australia. However, the ATO audit revealed significant overseas activities, with TDS purchasing components designed and developed overseas without an Advance Overseas Finding. This finding led to a crucial amendment in the company’s 2018 income tax return.
Penalties and Adjustments The ATO disallowed TDS’s R&D specific deductions but permitted them as general deductions. The result? A reduction of over $700,000 in the company’s refundable offset and imposed shortfall penalties exceeding $350,000. The cause? False statements in TDS’s R&D application.
Overseas R&D Expenditure – The Fine Print While companies can claim an offset for R&D expenditure on overseas activities, stringent rules and limitations apply. Crucially, they must hold an Advance Overseas Finding for these activities, and the anticipated expenditure on overseas activities must be less than that on Australian activities.
Seek Professional Assistance As R&D tax incentives can be a minefield, the ATO recommends seeking help from a registered tax professional if you’re uncertain about your eligibility or legislation interpretation.
High Standards for Compliance The ATO aims to foster transparency within the R&D program and expects companies to uphold high standards in complying with and understanding R&D laws.
Bringing Clarity to R&D Tax Incentives
As an R&D tax incentive consultant at Bulletpoint, a Melbourne-based consultancy, I’m here to help you navigate the intricate R&D tax incentive process. Our team brings over a decade of experience, successfully lodging over 500 R&D claims, ensuring that businesses not only understand the government’s definition of R&D but also receive the benefits they rightfully deserve.
Reach Out for Expertise If you’re interested in learning more about the implications of this recent decision or need assistance with your R&D tax incentive process, I invite you to book a meeting with me through this link or call 1300 658 508. I’m here to guide you with a blend of professionalism and approachable expertise to ensure your R&D tax incentive journey is successful and enjoyable.
Australia’s Innovation and R&D: The Wake-Up Call We Needed?
Recently, an article in the Australian Financial Review by Tom Burton, titled “Australia’s Dud Report Card on Innovation and Entrepreneurship“, provided a stark overview of the current state of R&D and innovation in Australia. Let’s explore the key takeaways.
Australia’s R&D Investment: A Lagging Scenario
In contrast to the excitement around local start-ups, the reality is that Australia trails significantly in terms of R&D investment, holding steady at a mere 1.8% of GDP. This figure places us behind leading economies such as South Korea, Germany, and the US.
A Worrying Trend: Decreasing Business Investment in R&D
Over the past decade, business investment in R&D has seen a troubling downward trend. ASX 200 companies, for instance, are spending only 3% of revenue on R&D. This is half the international average of 6% for listed companies.
Misalignment of Business Priorities: A Concern
Australia’s weakest sustained peacetime growth in its capital stock since the 1930s depression is the outcome of business incentives that favour short-term share price improvement over long-term, investment-driven growth. This shift is negatively impacting national labour productivity.
The Diminishing Culture of Innovation
The article reveals that only one in five Australian companies introduced any form of goods or services innovation in the two years leading up to June 2021. As the economy slows, these innovation numbers are expected to dip further.
Government Efforts in R&D: Fragmented and Inefficient
The present approach to R&D and investment is characterised by fragmentation, with more than 200 programs spread across 13 different portfolios. Consolidating efforts and focusing on key initiatives could bring greater rewards.
R&D Tax Incentive Scheme: A Vital but Controversial Element
The R&D tax incentive scheme, which is largely demand-driven, remains a key element of Australia’s innovation framework. About a third of its concessions go to manufacturing, with the remaining spread across various sectors.
A National R&D Inquiry: A Call to Action
Amid these challenges, there is a growing call for a comprehensive national inquiry into Australia’s R&D performance. Such an initiative could potentially recalibrate Australia’s approach to innovation and growth.
A Gathering Storm: The Innovation Crisis
The combination of diminishing venture capital markets, mediocre R&D spending, decreasing industrial capacity, businesses curtailing already low discretionary investment spending, and fragmented government efforts have led to a precarious situation. A coordinated, whole-of-government approach is crucial to rejuvenating the innovation landscape.
FYI Resources Ltd (ASX:FYI) has made remarkable progress with its Cadoux Kaolin Project, and it has also capitalised on the Research and Development (R&D) Tax Incentive. This government initiative encourages innovative research and development activities and provides tax benefits to eligible companies.
FYI Resources Ltd has effectively utilised this program to drive significant advancements in the Cadoux Kaolin Project, which has immense potential for producing high-purity alumina (HPA). By prioritising R&D initiatives and leveraging the tax incentive, the company has improved extraction methods, developed efficient processing techniques, and enhanced product quality. These efforts have solidified FYI Resources Ltd’s position in the global HPA market and ensured its continued growth and success in the mining and metal industry.
Bod Science, a medicinal cannabis developer, has secured a loan facility from Radium Capital, a finance provider specializing in research and development (R&D). Radium Capital offers strategic capital by granting early access to tax refunds secured against the rebate provided by the Australian Taxation Office (ATO), minimizing the need for diluting ownership shares.
As per the agreement, Radium Capital will lend Bod Science an amount equal to 80% of its R&D tax incentive, which is based on eligible expenses incurred during a specific period. For the first half of the 2023 financial year, Bod Science will receive a loan of $437,598, calculated on its domestic research and development expenditures.
The loan is supported by a lightweight security agreement and carries an annual interest rate of 16%. Repayment is required by December 31, 2023. In case of any delays in receiving the rebate from the ATO, the lender has the flexibility to extend the loan by 30 days on two separate occasions, based on their discretion.
While benefitting from this loan, Bod Science will continue to make progress in its research efforts focused on developing cannabis-based medicines.
Australian R&D spending is projected to reach a record low of 0.49% of GDP in the 2022-23 financial year, raising concerns for our nation’s innovation landscape. The R&D Tax Incentive program, however, is expected to reach its highest level in 2022-23, accounting for over a quarter of total government R&D spending.
Nadia Levin, CEO and Managing Director of Research Australia, expresses disappointment in this trend and emphasizes the need to reverse the downward trajectory in R&D funding. As an R&D tax consultant, I believe it’s vital to remain informed about the R&D tax incentive’s role in encouraging innovation in Australia. By supporting businesses and researchers, we can help ensure a thriving and prosperous future for our country.
The Australian Minister for Industry and Science, Ed Husic, and Minister for Finance, Katy Gallagher, have announced a $60 million investment in Questacon, a national science and technology institution. The funding aims to modernize the building and exhibits of Questacon, which attracts 500,000 visitors annually, including 150,000 school students.
The ministers emphasized the importance of nurturing interest in science and technology among young Australians. The investment is part of the government’s commitment to supporting national institutions and fostering talent in science and technology. It will also contribute to outreach programs to engage students across the country.
The ministers expressed gratitude to the staff and volunteers at Questacon and highlighted the government’s focus on procurement reform to support the local industry. They mentioned the establishment of the Future Made in Australia Office to coordinate procurement and encourage local industry involvement. Specific metrics and a timeline for the procurement reform were not provided.
Questacon’s director, Jo White, discussed the need for building upgrades to ensure safety, accessibility, and modernization of digital assets. Entry fees at Questacon will remain unchanged, and further details regarding the funding distribution will be revealed in the upcoming budget. The ministers also briefly addressed other topics, including jobseeker support and infrastructure projects. They assured that the budget would include a significant cost-of-living package targeting vulnerable Australians and emphasized the government’s commitment to infrastructure investment while reviewing ongoing projects. However, specific details on temporary increases to rental assistance or additional funding for the Future Made in Australia Office were not provided.
New data from the Department of Industry, Science and Resources has revealed that the Research and Development Tax Incentive (RDTI) scheme is estimated to reach its highest value ever this financial year, with an expected investment of over $3.2 billion in 2022-23. The RDTI scheme is a tax offset that allows firms to claim back foregone tax revenue from the government, with some direct tax refunds for smaller firms. The refundable offset is estimated to bring in $2.54 billion, while the non-refundable offset is expected to bring in $620 million. The SRI tables also estimate that spend on science, research, and innovation (SRI) programs across all government portfolios will reach $12.1 billion, exceeding the previous peak of $11.8 billion in 2021-22.
Industry and Science Minister Ed Husic has stated that innovation is crucial to the government’s priorities, and the government will continue to look for ways to expand research and innovation opportunities to support the economy and create sustainable jobs.
These budget tables outline the Australian Government’s investments in science, research and innovation from 1978–79 to 2022–23.
In the 2022–23 financial year, the government will invest an estimated:
- $9 billion in direct support for research and development
- $3.2 billion through the Research and Development Tax Incentive
- $1 billion in other programs and activities related to science, research and innovation.
Investment in Australia’s science, research and innovation system is critical to support industry growth, create more jobs and increase our national prosperity.
The 2022–23 Science, research and innovation budget tables show the government will invest $12.1 billion in research and development (R&D) in the 2022–23 financial year. We are also investing $1 billion in other science, technology, research and innovation-related programs and activities.
The government’s investment in R&D includes $9 billion in direct support for Australia’s national research organisations such as the Commonwealth Scientific and Industrial Research Organisation (CSIRO) and the Australian Nuclear Science and Technology Organisation (ANSTO). We expect around $3.2 billion to be invested through the Research and Development Tax Incentive to help businesses to undertake research activities that otherwise would have not been undertaken.
Science, research and innovation are fundamental to the government’s priorities, including rebuilding Australia’s manufacturing capability, supporting home-grown innovation, and securing our long-term productivity, energy security and prosperity. This support extends across government, allowing us to make strategic investments that help researchers do cutting-edge R&D to meet emerging challenges.
Strengthening the bond between industry and research organisations is crucial to delivering research outcomes, creating well-paid secure jobs and supporting our economy
The government will continue looking for ways to expand Australian research and innovation opportunities, drive scientific breakthroughs and industry growth and create high paying, sustainable jobs for Australians.
The Government released the Board of Taxation (BoT)’s Review of the R&D Tax Incentive Dual Agency Administration Model report on 29 March 2022. Recommendations included:
- Reviewing how the performance of the R&DTI is measured against its legislated objectives, especially regarding additionality and spillover goals
- The improvement of information sharing between relevant agencies
An additional policy focus is determining how the R&DTI can better support business-research collaboration through both its Registered Research Service Provider (RSP) provisions and the number of innovation active businesses participating in the program, potentially through:
- Expanding cross-promotion with other programs
- Improving website offerings
- Other outreach, engagement, and communication services
- Improved linkages with other initiatives
In the 2020-21 income year, there were 12,403 registrations and a total registered R&D expenditure of $13.4 billion, which increased by $800 million compared to the previous year. Small-to-medium enterprises (SMEs) comprised 88% of registrations and 51% of R&D expenditure, while large companies with turnover greater than $20 million comprised 12% of registrations and 48% of R&D expenditure. In terms of industry sectors, ICT registrations accounted for 45% of all R&D registrations and 37% of R&D expenditure in 2019-20, while the services sector constituted 53% of all R&D expenditure and the manufacturing sector comprised 30%.
The registration deadline for the income year that ended on 30 June 2022 has been extended from 30 April 2023 to 2 May 2023 in all states, due to a peak period for registration applications. This may result in extended processing times for applications.
This is a high volume period, with around 30% of the annual 12,000+ applications received during this time, leading to significant delays in processing times. It is essential to ensure that all questions are fully answered, especially those posed in two parts, and to state hypotheses in a manner that acknowledges the unknown or unknowable nature of the outcome.
The Department of Industry, Science, Energy and Resources (DISR) has streamlined the administration of processing Advance Findings (AFs) applications, which provide companies with certainty around the eligibility of their R&D projects for up to three income years. The DISR has also been working with the Technology Council of Australia to deliver an AF ‘pilot’ to software-related companies that want to access the R&D Tax Incentive program.
Small group consultation sessions were conducted by DISR Case Managers with software sector expertise throughout March 2023 to provide participating companies with information on the R&D Tax Incentive program, an understanding of the purpose of advance findings, and details on how to apply via the R&D Tax Incentive portal. These companies have until 26 April 2023 to submit their Advance Findings application, and company feedback is being collected throughout the process to measure the effectiveness of this form of guidance. AFs may help companies raise funds, secure finance, recruit and retain talent, and make important investment decisions.
There have been over 20,000 applications submitted through a portal for research and development (R&D) tax incentives since its launch on 4 July 2021. However, there have been no updates to the portal in the last 6 months and no major updates planned at this time.
First-time users may experience delays in accessing the portal due to additional steps required during registration. To avoid registration delays, users should ensure that the correct ABN is displayed, select the correct income period, and ensure that authorisation to access the portal has not expired. Authorisations can only be extended by a representative from the R&D entity.
Are you new to the R&D Tax Incentive? Would you like to understand more about the program’s requirements to help you self-assess your eligibility?
Don’t miss the chance to attend an informative session led by representatives from both the ATO and DISR. During this session, you will be guided through important program requirements that you should consider prior to starting your R&D activities. This includes valuable tips on how to assess your activities, what expenses are eligible for claiming, and how to maintain records for program application purposes.
If you are new to the program, it is highly recommend attending this session before applying. Register now to secure your spot!
Research Service Providers (RSPs) are registered by the department and provide scientific or technical expertise and resources to perform R&D for other companies.
The deadline is approaching for RSPs to renew their registration for the 2023/24 financial year. An online Smart Form will be available from Monday 1 May 2023. This will be distributed to RSPs currently registered with the program through our annual renewal communication.
Applications must be submitted by 31 May 2023 and the online register will be updated accordingly in July 2023.
Click here to find out more about becoming an RSP
The statutory deadline for registering your 2021/22 R&D activities if you operate on a standard income year (1 July to 30 June) is 30 April 2023. You can lodge up to Tuesday 2 May 2023, which is the first business day following a weekend and public holiday in some States. It’s important to check your customer portal access now to ensure you can meet the deadline.
You can apply before the due date if you are ready now.
The Australian Financial Review hosts Editors Forums where top executives from leading Australian companies discuss issues that impact their industries and society as a whole. These forums aim to define the country’s recovery from the pandemic and were introduced as part of the Financial Review Platinum 70th Anniversary. The first forum, “Australia’s Carbon Challenge,” took place at the 2022 Financial Review Business Summit and featured CEOs from Woodside, Santos, and Lynas. The second forum, “Future of Cities,” was held in June and featured CEOs from Lendlease, Mirvac, and Stockland, as well as an infrastructure partner at PwC Australia.
The article reports on an Editors Forum on the future of tech in Australia’s economy, featuring Minister for Industry and Science Ed Husic, CEO of Salesforce ANZ & ASEAN Pip Marlow, Wisetech Global founder and CEO Richard White, AirTree Ventures partner James Cameron, CEO of the Technology Council of Australia Kate Pounder, and PwC Australia partner Rohit Antao. The forum was held on March 17 and coordinated by The Australian Financial Review’s editors. The article includes an edited transcript of the discussion and highlights the participants’ insights on digitizing Australia’s economy.
R&D Tax Incentive- Latest Recipients
Clinical stage oncology company Prescient Therapeutics Ltd (ASX:PTX, OTC:PSTTF) has received its R&D Tax Incentive rebate for the 2023 financial year amounting to A$2,368,122.60.
The R&D Tax Incentive is an Australian Government program under which companies receive cash refunds of up to 43.5% of eligible expenditure on research and development.
This A$2.4 million rebate comes in addition to the A$18.7 million cash reserves that Prescient reported in the September 2023 quarterly report.
The rebate was accounted for in the company’s 2023 annual report as a receivable and will be reflected in the upcoming December quarterly report.
On 21 November 2023, Radiopharm Theranostics Limited, a Sydney-based company specializing in radiopharmaceutical products for both diagnostic and therapeutic purposes, announced receiving a significant R&D tax refund of A$4,851,839. This refund, under the Australian Government’s R&D tax incentive program, acknowledges Radiopharm’s research and development activities during the 2023 financial year. The incentive, which offers a refundable tax offset of up to 43.5% for eligible activities, is set to play a vital role in continuing the development of Radiopharm’s innovative portfolio in radiopharmaceuticals, an area of high potential in medical diagnostics and therapy.
Key Points Breakdown:
Substantial Tax Refund: Radiopharm has been granted a substantial R&D tax refund amounting to A$4.85 million, highlighting the Australian Government’s support for innovative medical research.
Recognition of R&D Efforts: The refund is a recognition of Radiopharm’s dedicated research and development activities in the 2023 fiscal year, underscoring their commitment to advancing medical technology.
Fuel for Further Development: This financial boost is poised to significantly aid Radiopharm in continuing to develop its portfolio of radiopharmaceutical products, which have applications in both diagnostics and therapy.
Government Support for Innovation: The Australian Government’s R&D tax incentive program, offering a tax offset of up to 43.5% for eligible R&D activities, demonstrates the government’s commitment to fostering innovation in the healthcare sector.
Analysis:
Radiopharm Theranostics Limited’s receipt of a $4.85 million R&D tax incentive is a testament to the importance of government support in advancing medical technology. This refund not only provides crucial funding for Radiopharm’s ongoing projects but also exemplifies the potential impact of such incentives on the healthcare industry. For companies like Radiopharm, engaged in cutting-edge medical research, these incentives are pivotal in enabling continued innovation and development. At Bulletpoint, we recognize the critical role of such government programs in supporting businesses’ R&D endeavours. This case illustrates the potential for R&D tax incentives to catalyse significant advancements in medical diagnostics and treatment, showcasing the value of government backing in the realm of healthcare innovation. Our expertise in guiding businesses through the R&D tax incentive process ensures that they can effectively leverage these opportunities to drive forward their innovative projects.
In a significant development for the biotechnology sector, Arovella Therapeutics Ltd has recently fortified its financial resources with a $1.94 million R&D Tax Incentive rebate. This rebate, a part of the Australian Federal Government’s R&D Tax Incentive program, is allocated for the company’s research and development expenditure for the fiscal year 2023. As of 30 September 2023, these funds have enhanced Arovella’s cash position, which was previously at $5.3 million. This move is not only a boon for Arovella but also sheds light on the broader impact of the R&D Tax Incentive on the Australian biotech industry, as detailed in a new report by AusBiotech.
Key Points Breakdown:
Financial Enhancement: Arovella Therapeutics’ receipt of the $1.94 million R&D Tax Incentive rebate from the Australian Tax Office significantly boosts its financial standing, enabling further development in their innovative projects.
Supporting Development: The rebate arrives at a crucial time as Arovella advances the development of its key projects, particularly towards clinical trials.
CEO’s Perspective: Dr Michael Baker, CEO and Managing Director of Arovella, has expressed appreciation for the R&D Tax Incentive scheme, acknowledging its role in supporting companies like Arovella in advancing their research programs.
Broader Economic Impact: A recent report by AusBiotech highlights the substantial economic benefits of the R&D Tax Incentive on the Australian biotechnology sector, demonstrating the program’s effectiveness in fostering industry growth and innovation.
Long-term Policy Benefits: Over a decade, from 2011 to 2021, the R&D Tax Incentive program has shown impressive results, with an increasing return on investment for every dollar of tax revenue spent, underscoring the compounding advantages of sustained government support in the biotech industry.
Analysis:
The allocation of the $1.94 million R&D Tax Incentive to Arovella Therapeutics is a clear indication of the Australian government’s commitment to fostering innovation within the biotechnology sector. For businesses engaged in R&D, especially in biotech, this serves as a promising example of the potential benefits of such government incentives. At Bulletpoint, we understand the importance of these incentives in driving forward technological and scientific advancements. This case illustrates the value of governmental support in enabling companies to undertake ambitious R&D projects, contributing to significant developments in healthcare and related fields. Our expertise lies in assisting businesses to navigate the complexities of the R&D tax incentive process, ensuring they can maximise their potential to innovate and grow.
In a significant financial boost, Noxopharm Ltd has received a A$6.052 million rebate from the Australian Government’s R&D Tax Incentive scheme, reflecting its extensive investment in research during the last financial year. Announced recently, this development not only strengthens Noxopharm’s cash reserves but also underpins the company’s ambitious Chroma™ and Sofra™ R&D projects. This move illustrates the pivotal role of R&D incentives in advancing crucial medical research, particularly in areas like cancer and inflammation.
Key developments from this announcement include:
- Noxopharm’s increased cash flow, vital for sustaining and expanding its research projects.
- CEO Dr. Gisela Mautner’s acknowledgment of the R&D rebate’s impact on growing the company’s assets and contributing to Australia’s economy.
- The company’s focus on developing innovative treatments for cancer and inflammation through its proprietary Chroma™ and Sofra™ technology platforms.
- The potential dual benefits of Chroma™ in anti-cancer activity and inflammation control, supported by promising preclinical data.
- Sofra™ platform’s emphasis on creating immunomodulators to enhance mRNA vaccines and treat autoimmune diseases, with encouraging results from preclinical studies.
Analysing these developments, it’s clear that the R&D tax incentive is instrumental for companies like Noxopharm, enabling them to pursue advanced medical research. This aligns with Bulletpoint’s understanding of the R&D incentive’s role in supporting innovative research in Australia. The case of Noxopharm exemplifies how R&D incentives not only fuel scientific progress but also strengthen businesses financially, enabling them to make significant contributions to healthcare advancements and the broader economy.
Neurotech International, a clinical-stage biopharmaceutical development company, has recently been awarded a substantial $3.17 million R&D tax incentive refund from the Australian government. This refund, linked to their financial activities up to 30 June 2023, acknowledges their pioneering work in treating paediatric neurological disorders. Dr. Thomas Duthy, Neurotech’s executive director, highlighted the crucial role of this incentive in supporting innovative research and development, particularly in a phase where the company is rapidly advancing its growth strategy and treatment development.
Key Points Breakdown:
Innovative Clinical Trials: Neurotech has launched several clinical trials in the last year, focusing on autism, Paediatric Autoimmune Neuropsychiatric Disorders Associated with Streptococcal Infections (PANDAS), Paediatric Acute-Onset Neuropsychiatric Syndrome (PANS), and Rett Syndrome. Their recent PANDAS/PANS trials have shown significant clinical effects in patients.
Financial Stability and Future Plans: The R&D refund boosts Neurotech’s cash balance to $6.1 million, ensuring sufficient funding through FY24 and supporting the completion of all ongoing clinical trials.
Breakthrough in PANDAS/PANS Treatment: Neurotech has made notable advancements in treating PANDAS/PANS with its lead biopharmaceutical product, NTI164. This treatment, currently without an approved alternative, has shown promising results in reducing key symptoms of these disorders.
Positive Trial Outcomes: The trials with NTI164 have yielded significant improvements in patients’ quality of life, particularly in managing obsessive-compulsive disorder (OCD)-like behaviors, anxiety, and emotional changes.
Strategic Moves for NTI164: Alongside generating clinical evidence, Neurotech is pursuing strategic partnerships and regulatory approvals in the US, Australia, and Europe. Plans include applying for orphan drug designation for NTI164 in the treatment of PANDAS/PANS.
Upcoming Milestones: The company awaits results from a trial investigating NTI164 in children with Rett Syndrome, expected in Q1 2024.
Analysis and Implications:
This development holds significant implications for businesses engaged in R&D, especially in the biopharmaceutical sector. Neurotech’s successful claim demonstrates the tangible benefits of the Australian government’s R&D tax incentive, not only in financial support but also in acknowledging and propelling groundbreaking research. For companies like Neurotech, these incentives are pivotal in advancing innovative treatments, particularly in areas lacking approved therapies.
At Bulletpoint, we recognize the importance of such incentives in fostering innovation and growth in the Australian business landscape. This case exemplifies the potential of the R&D tax incentive to facilitate critical research and development activities, ultimately leading to remarkable advancements in healthcare and other sectors. Our expertise lies in guiding businesses through the intricacies of the R&D tax incentive process, ensuring they fully capitalize on the opportunities available to support their innovative endeavors.
Island Pharmaceuticals Ltd (ASX:ILA), an emerging player in the healthcare sector, has achieved a significant financial milestone by securing a Research and Development (R&D) tax refund of $386,345 for the fiscal year ending June 2023. This refund, facilitated through the Australian Tax Office’s R&D Tax Incentive, is particularly relevant for companies involved in R&D activities, as it showcases the government’s support for innovative research. The funding is earmarked for advancing the company’s lead asset, ISLA-101, a promising candidate for the prevention and treatment of dengue and other vector-borne diseases.
The key aspects of Island Pharmaceuticals’ recent progress that are noteworthy for businesses include:
- Valuable Funding Source: The R&D tax refund provides essential capital to support ongoing clinical programs, particularly the development of ISLA-101.
- Advancement in Medical Research: The company’s focus on solving critical unmet health needs, especially in the realm of dengue treatment, is a significant contribution to public health.
- Clinical Trial Progress: The approval from the Human Research Ethics Committee for the Single Ascending Dose study of ISLA-101 indicates a forward momentum in the research and development phase.
- Future Data Readout: The anticipated completion of the study with final data expected in early 2024 marks a crucial step towards bringing ISLA-101 closer to potential application.
From an analytical standpoint, Island Pharmaceuticals’ success in securing the R&D tax refund underscores the pivotal role of government incentives in fostering medical innovation. Bulletpoint, with its expertise in R&D tax incentives, recognises the importance of such financial support in enabling companies to undertake groundbreaking research. This case highlights the criticality of aligning R&D activities with government incentives to not only advance scientific knowledge but also to receive financial backing that can accelerate research efforts. It demonstrates how strategic R&D investments, backed by government support, can propel companies towards significant contributions in addressing global health challenges.
In the dynamic field of smart building materials, ClearVue Technologies (ASX:CPV) has just marked a significant financial milestone, obtaining a $935,000 R&D tax credit from the Australian Taxation Office. This development, announced on [insert date], is particularly relevant for enterprises engaged in R&D activities as it exemplifies the tangible benefits of the Australian Government’s R&D Tax Incentive program. For current and prospective claimants, ClearVue’s success story serves as an encouraging example of how strategic R&D investment can be financially rewarding and beneficial to a company’s growth and innovation trajectory.
This tax credit recognises ClearVue’s dedication to advancing its second-generation insulated glass units (IGUs), a core element in their product line that integrates solar technology for energy-efficient buildings. The financial implications for similar businesses are clear:
- Tax Credit as a Financial Catalyst: A substantial R&D tax credit can provide crucial capital for ongoing development and production efforts.
- Reward for Collaborative Research: ClearVue’s collaborative projects with D2 Solar in the US and Murdoch University underline the importance of partnerships in R&D.
- Encouragement for Commercialisation: The R&D tax incentive is designed to aid companies like ClearVue in moving from research to market-ready solutions.
ClearVue’s receipt of the R&D tax credit is a testament to the government’s commitment to fostering a culture of innovation. It exemplifies how businesses can leverage governmental incentives to advance their technological frontiers. At Bulletpoint, where clarity and simplicity in navigating the R&D tax incentive landscape are paramount, this case highlights the advantage of strategic R&D planning and investment. Expertise in aligning business objectives with government incentives is crucial, and this is where Bulletpoint’s tailored guidance can make a decisive difference for businesses embarking on the R&D journey.
Proteomics International, a leader in medical technology, has recently received a significant boost with a $1.85 million tax rebate under the Australian Government’s Research and Development (R&D) incentive scheme for the fiscal year 2023. This news, relevant to the current and potential claimants of the R&D tax incentive, highlights the government’s support for innovative research in Australia, particularly in the crucial area of medical diagnostics. The rebate is a nod to Proteomics International’s advancements in predictive diagnostics and its commitment to commercialising its PromarkerD device, along with developing blood tests for endometriosis and oesophageal cancer.
The key points from the article that businesses engaged in R&D should note include:
- Significant Financial Support: The substantial $1.85 million rebate underlines the government’s commitment to supporting companies like Proteomics International in their R&D efforts.
- Focus on Medical Innovation: The rebate is tied to the company’s work on predictive diagnostics, particularly for diabetic kidney disease, endometriosis, and oesophageal cancer.
- Commercialisation Efforts: The funds will aid in the commercialisation of the PromarkerD device and the development of other critical blood tests.
- Contribution to Public Health: Proteomics International’s research plays a vital role in addressing global health challenges, such as oesophageal cancer, which has significant mortality rates worldwide.
From an analytical perspective, the rebate Proteomics International has received underlines the significance of the R&D tax incentive in aiding businesses, particularly in high-impact sectors like medical technology. Bulletpoint, with its expertise in guiding businesses through the R&D tax incentive process, recognises the importance of such support in bringing groundbreaking medical solutions to market. The Proteomics case demonstrates how the R&D tax incentive can be a vital resource for companies making significant strides in research, enabling them to continue their essential work. It’s an encouragement for businesses to invest in R&D, knowing that such efforts are not only beneficial for public health and innovation but are also financially supported by the government.
The Australian Taxation Office (ATO) has recently updated the guidelines for the Research and Development (R&D) Tax Incentive, targeting specific integrity issues within claims. In an article by Philip King dated 31 October 2023, important clarifications were brought to light that could have significant implications for claimants. This post will summarise these changes and discuss their potential impact on businesses.
- The ATO has pinpointed concerns with R&D claims, particularly involving expenditures to associates, the nature of the R&D activities, and compliance with turnover and at-risk expenditure requirements.
- R&D costs can only be claimed in the year payment is made to associates, with strict criteria on what constitutes payment.
- The ‘conducted for’ rule specifies that R&D activities must be for the claiming entity, impacting who benefits, owns, and controls the R&D outcomes.
- A turnover cap of $20 million is specified, with certain exemptions, for entities controlled by exempt entities to qualify for the non-refundable tax offset.
- Overseas expenditures are claimable only with a positive finding from the Department of Industry, Science and Resources, stressing the importance of the activities being conducted within Australia.
- Expenditures not at risk, which are those expected to generate a direct or indirect financial return or are subsidised by grants or contracts, are excluded from the incentive.
These clarifications by the ATO serve as a crucial reminder for businesses to review their R&D tax incentive claims meticulously. It’s evident that the ATO is taking a more stringent approach to compliance, and this necessitates a robust understanding of the updated rules to avoid the pitfalls of non-compliance.
Staying abreast of these changes is vital for any business involved in R&D. For expert guidance through the complexities of the R&D tax incentive process and to ensure that your claims meet the ATO’s latest requirements, reach out to Bulletpoint. Contact us today to book a meeting, or send us a message to get started on securing your rightful benefits.
Opyl Limited (ASX:OPL,“Opyl” has received a $530,580 R&D Tax IncentiveRefund from the Australian Tax Office under the Federal Government’s R&D Tax Incentive Scheme to support its ongoing development of Opyl’s digital clinical trial recruitment platform Opin(www.opin.ai), and completion of the core technology development to minimum viable product stage for Opyl’s new predictive clinical trial analytics and insights platform, TrialKey (www.trialkey.ai).
Opyl is a new generation company that provides leading biopharma and health organisations access to emerging AI-assisted technologies and professional guidance to understand and improve healthcare design, development and delivery.
Alterity Therapeutics Limited (ASX: ATH, NASDAQ: ATHE) has announced the receipt of a A$4.74 million cash refund from the Australian Taxation Office to support Alterity’s clinical development and research activities, including the ongoing Phase 2 clinical trials for the Company’s lead drug candidate ATH434 in Multiple System Atrophy (MSA), a Parkinsonian disorder with no approved therapy.
Alterity Therapeutics is a clinical stage biotechnology company dedicated to creating an alternate future for people living with neurodegenerative diseases.
ABx Group‘s subsidiary, Alcore, has received $522,715 to support the development of the ground breaking process where it recovers hydrogen fluoride from an aluminum smelter waste product.
ABx Group (ASX:ABX) is a uniquely positioned, high-tech Australian company at the cutting-edge of providing the global market with much- needed new supplies of strategic minerals (specifically rare earth elements) and chemicals (aluminium fluoride – essential for aluminium smelting).
Blackstone Minerals Ltd, an Australian mining company, has received an A$2.8 million advance for research and development (R&D) activities in the fiscal year 2023, to develop the Ta Khoa Refinery process, which involves converting nickel concentrate blends into battery products known as precursor cathode active material (pCAM).
Blackstone Minerals Ltd (ASX: BSX / OTCQX: BLSTF / FRA: B9S) is focused on building an integrated upstream (Ta Khoa Nickel Project) and downstream (Ta Khoa Refinery Project) battery metals processing business in Vietnam that produces NCM Precursor products for Asia’s growing Lithium-ion battery industry (refer Figure x for project locations).
Orthocell Ltd (ASX:OCC, OTC:ORHHF) has received a Research and Development (R&D) Tax Incentive refund of A$3.17 million for the financial year 2021/2022, to scale up the manufacturing capacity and distribution partnering programs for two of Orthocell’s products, namely Striate+™ and Remplir™.
Orthocell is a regenerative medicine company dedicated to the development of breakthrough products for the treatment of musculoskeletal disorders.
Sparc Technologies has scored a $934,000 R&D tax refund from the Australian Government for the 2022 financial year, to support the company’s work on projects involving graphene, green hydrogen, and sustainable batteries.
Sparc Technologies Limited (ASX: SPN) is an Australian company pioneering new technologies to disrupt and transform industry while seeking to deliver a more sustainable world.
Imugene has secured a $12.6 million R&D tax refund from the Australian Government’s R&D tax incentive scheme to support the clinical development of its immune-oncology pipeline.
Imugene is a clinical stage immuno-oncology company developing a range of new and novel immunotherapies that seek to activate the immune system of cancer patients to treat and eradicate tumors.
Hazer Group has received a $9.45 million refund for its FY2022 Research and Development tax incentive to support the development of Hazer Process, which produces low-emission hydrogen and graphitic carbon from methane feedstocks using iron ore as a process catalyst.
Hazer Group Limited is an ASX-listed technology development company focused on commercializing the HAZER® Process, which produces low-emission hydrogen and graphite from natural gas and similar feedstocks using iron ore as a process catalyst.
Recce Pharmaceuticals has received an additional research and development (R&D) advance of A$973,144 from the Australian Government’s Department of Industry, Science, Energy and Resources to support the development of Recce’s lead compound RECCE® 327, which has shown promise in treating antibiotic-resistant bacterial infections.
Recce Pharmaceuticals Ltd (ASX: RCE, FSE:R9Q) is pioneering the development and commercialisation of a new class of synthetic antibiotics with broad spectrum activity designed to address the urgent global health problem of antibiotic resistant superbugs.
Race Oncology has received a R&D tax refund of $1.48 million which will be used to fund the development of its cancer drug, known as Zantrene.
Race Oncology is an Australian biotech company that specializes in the development of cancer therapies.
Opthea has received A$8.7 million R&D tax incentive from the Australian Taxation Office to support development of its lead drug candidate, OPT-302, which is being developed for the treatment of eye diseases such as wet age-related macular degeneration (wet AMD).
Opthea Limited (NASDAQ: OPT; ASX: OPT) is a public biotechnology company developing OPT-302, a novel biologic inhibitor of VEGF-C and VEGF-D, for use in combination with VEGF-A inhibitors for the treatment of wet age-related macular degeneration (wet AMD) and diabetic macular edema (DME).
Chimeric Therapeutics has received a research and development (R&D) tax refund of A$3,061,205 under the Australian Government’s R&D tax incentive to support the continued development of its portfolio of cell therapies.
Chimeric Therapeutics is a clinical stage cell therapy company focused on bringing the promise of cell therapy to life for more patients with cancer.
Ardea Resources (ARL) receives a $1.8 million rebate under the Australian Government’s R&D Tax Incentive to support the development of its Kalgoorlie nickel project that will result in lower costs and lower carbon dioxide emissions as well as more production.
Ardea Resources is a nickel, cobalt and scandium exploration and development company focused on developing its 100% owned Kalgoorlie Nickel Project (KNP) within the globally significant mining jurisdiction of Western Australia.
Zeotech receives a more than $1 million refund under the Australian Government’s R&D Tax Incentive program to support the development of its proprietary mineral processing technology to sustainably produce manufactured zeolites.
Zeotech (ZEO) is a team of dedicated people, working together to build a future focused company, leveraging proprietary technology to deliver solutions aimed at addressing sustainability challenges.
Bio-Gene Technology announced on Friday that it has received a $446,000 research and development (R&D) tax incentive from the Australian Taxation Office to support the development of its products, Flavocide and Qcide.
Bio-Gene is an Australian agtech company enabling the next generation of novel insecticides.
Estrella Resources (ESR) has received over $1 million in a refundable tax offset for research and development (R&D) of its Carr Boyd Nickel project during the 2021-22 financial year.
Estrella Resources Limited is a diverse Western Australian based company, focused on the exploration and development of nickel projects and increasing shareholder value.
Arovella Therapeautics has received a refund of $1,048,763 from the Australian Taxation Office under the R&D Tax Incentive for the 2022 financial year to support the development of its invariant Natural Killer T (iNKT) cell platform.
Arovella Therapeutics (ASX: ALA) is a biotechnology company focused on developing therapies to treat human disease.
ClearVue Technologies (CPV) has received an R&D tax refund of $812,830 to support its research program with D2 Solar, greenhouse research work and development work on products of the Smart Façade platform.
Clearvue Technologies Limited provides solar energy solutions. The Company offers building integrated photovoltaic, glass, and building surfaces, thin film photo voltaic cells and panels, and other building materials.
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