As per previous years, for majority of companies with a standard income period of 1 July 2014 to 30 June 2015, lodgement of their registration with AusIndustry is due by 30 April 2016. However, since April 30 falls on a Saturday, this year companies are able to lodge on Monday 2 May 2016. Please pursue the advice of one of our R&D Tax Specialist if you need assistance with your application.
To claim the incentive, you need to register your R&D activities with AusIndustry within 10 months of the end of the final year. For most companies operating in June – July fiscal year, this date will fall on the April 30 deadline. One of the most vital aspects of accessing a compliant incentive claim is keeping contemporaneous and detailed company records. Furthermore, the recent AAT cases and higher levels of review scrutiny by AusIndustry and the ATO demonstrate the importance of documentation regarding the R&D activities.
In short, the requirements to be eligible for the R&D Tax Incentive include:
- Must register the R&D activities each year with AusIndustry prior to making a claim for the R&D tax incentive in the company tax return (NOTE: Due in two weeks!).
- Must be an R&D entity, i.e. company.
- Must be engaged in eligible R&D activities.
- Have notional R&D deductions of at least $20,000 for the year.
Furthermore, companies must keep sufficient records to authenticate their claim in the event of an audit. These records must show:
- They conducted eligible research and development activities
- They experienced eligible expenditure in relation to those activities
- Their R&D activities and expenditure met all other legislative requirements under the scheme
Ultimately, in order to utilise the R&D Tax Incentive to its best advantage and evade errors requires specialist knowledge. AusGrant specialises in the R&D Tax Incentive – contact us today to discuss your eligibility and learn more about how the R&D Tax Incentive may benefit your business.
With only two weeks left to lodge, there is no better time than the present to find out if you qualify.