No doubt, the research & development sector is the backbone for any company, organization or the country. It not only leads to sheer innovation but gives us a chance to explore the things around us in a bit comprehensive way. But because of this fast-paced growth and demands, many companies are lacking behind in this department amid several reasons like allocating a budget to this department, lack of time, not having skilled individuals to carry out complex tasks are some to count.
But Australia is doing something really noticeable and appreciable work to encourage companies and startups to bring their eyes on innovation. The Australian government is offering Research and Development Incentive schemes in which companies who are in this work, can leverage several tax benefits from the government.
In this article, we will tell you the most interesting facts about the R&D tax incentive program. If you live in Australia and run a company, this piece would be a boon for you. If your company doesn’t fall under this scheme, after reading these we are pretty confirmed, you will apply for the same very soon.
- 38.5% or 43.5% tax rebate:
Enjoy a whopping benefit of up to 43.5% to total tax paid under this government tax incentive program. Australia is ready to weave off your taxes, you just need to show some innovative work which can genuinely help to grow the nation. As from the past, you are already paying the full upfront of tax, what’s wrong is getting such a good rebate by involving your company in some good research work.
- Let’s de-compile these two figures (38.5% and 43.5%)
If your company’s turnover is less than 20 million, you are eligible for the highest tax refund which is 43.5 %. On the other hand, if your company’s total turnover is more than this amount, you will still get a rebate of 38.5% depending upon which criteria your company falls. You can easily check your criteria online. Don’t wait for a perfect time to come, enjoy R&D tax incentive in Australia by registering yourself.
- They are not asking too much from you:
Whenever some authorities offer you such benefits, there is always some complicated terms and conditions to complete. But in this case, they have kept the eligibility criteria pretty straightforward to get maximum participation from the industries. Here are some quick brief criteria:
- The company needs to be incorporated.
- Your R&D work must be under the guidelines which are outlined by the organization (Check full guidelines on their official site)
- The company or industry must be paying taxes of a minimum of 20,000.
- You have to register your company first to get enroll in this scheme.
- Last Fact Check: You need to prepare in advance:
As you know, the competition is already cut-throat that is the reason you need to apply for these schemes in advance to get approval from the authorities. Also, will only get the tax benefits once a year. So keep these things in mind and start preparing to get R&D tax incentive in Melbourne or any other city.
These were some of the most important yet interesting facts that you should be aware of. Now it’s your time to investigate and figure out how you can take advantage of it and bring some creative work for the welfare of all. Don’t forget to check the official websites before applying for these programs.