Do you undertake Research and Development?

Are you seeking the latest information and insights about claiming software R&D activities – noting regulators have focussed attention on software development claims recently, with new guidance, tax alerts and regulatory audits/reviews.

Those submitting claims need to be aware about issues, myths, risks and processes to be aware of when compiling an R&D claim related to software development activities as well as compliance and planning – how to apply the guidance in practice; and ATO activity – what you need to be aware of.

The Research and development (R&D) tax incentive encourages companies to engage in R&D benefiting Australia, by providing a tax offset for eligible R&D activities. It has two core components:

  • a refundable tax offset for certain eligible entities whose aggregated turnover is less than $20 million
  • a non-refundable tax offset for all other eligible entities.

The R&D tax incentive replaced the R&D tax concession from 1 July 2011, and applies differently from the concession.

R&D claims for income years starting before 1 July 2011 may be eligible for the R&D tax concession.

For further information please see the ATO website or contact TasICT who have expert support available.