ato logo
Search Suggestion:

Other things to be aware of

Consider the following requirements if you are an eligible R&D entity and you want to claim the R&D tax incentive.

Last updated 22 March 2023

If you are an eligible R&D entity and you want to claim the R&D tax incentive, consider the following other requirements, including that you:

  • must register your R&D activities every year
  • can notionally deduct expenditure on R&D activities
  • may need to adjust your income tax return if        
    • you have received a government recoupment (clawback adjustment)
    • your eligible activities have produced tangible products for supply to someone else, or to be applied to your own use – other than in transforming these products for supply (feedstock adjustment)
    • you are registered for GST
     
  • must claim your R&D tax offset by lodging a company tax return and R&D tax incentive schedule at the end of your income year
  • must keep adequate records to demonstrate to AusIndustry, Industry Innovation and Science Australia and to us that you carried out the eligible R&D activities and that you did incur eligible R&D expenditure on those activities
  • must consider any special transitional rules that apply for situations that extend over income years where the R&D tax concession provisions and the R&D tax incentive provisions apply.

QC71854