Part B - Adjustments to aggregate R&D amount of company

Item 1 Adjustments required to the company's aggregate R&D amount, for example, building expenditure, consolidated group adjustments, expenditure on foreign owned R&D

Include at X item 1 other amounts that are not included in the second and third columns in part A relating to Australian owned R&D, that are needed to calculate the company's aggregate R&D amount. These amounts form part of the aggregate R&D amount even though they may not be deductible under section 73B of the ITAA 1936 or may not be related to Australian owned R&D. These include:

• the total amount of any capital expenditure on buildings used for the purpose of carrying on R&D activities, deductible under Division 43 of the ITAA 1997
• for companies that are lodging a return regarding income and deductions for a period before or after they joined a consolidated group, the additional aggregate R&D amount calculated in accordance with section 716-850 of the ITAA 1997

and may also include some expenditures on foreign owned R&D.

Also include at X item 1 any positive or negative adjustments that may need to be made to the aggregate R&D amount where a company has a transitional substituted accounting period in the year of income, and where the amounts reported in columns 2 and 3 of part A relate to a period that is less or greater than 12 months. The aggregate R&D amount is calculated by reference to the 12-month period that is the tax offset year or year of income.