R&D Tax Incentive

The R&D Tax Incentive provides a targeted tax offset designed to encourage more companies to engage in research and development in Australia.

The R&D Tax Incentive has two core components:

• a 45 per cent refundable tax offset (equivalent to a 150 per cent deduction) to eligible entities with an aggregated turnover of less than $20 million per annum
• a non-refundable 40 per cent tax offset (equivalent to 133 per cent deduction) to all other eligible entities.

Applications for registration of activities undertaken in the 2011-12 income year opened on 1 July 2012.  For companies that run on a non standard financial year please refer to R&D Tax Concession.