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Item 14

Last updated 11 August 2020

Residual feedstock expenditure

(relevant to Australian owned R&D only)

Residual feedstock expenditure is the lesser amount of the company's feedstock input and feedstock output for Australian owned R&D in the year of income.

If feedstock inputs are:

  • greater than feedstock outputs, write the outputs amount at W Residual feedstock expenditure
  • less than feedstock outputs, write the inputs amount at W Residual feedstock expenditure.

This is the residual feedstock expenditure, as defined in subsection 73B(1) of the ITAA 1936.

Note: The residual feedstock expenditure will not be deductible at the concessional rate. It is claimable at 100%. Subsection 73B(14B) of the ITAA 1936 allows a deduction for residual feedstock expenditure.

At W and X write the amount of residual feedstock expenditure.

The amount at W must equal the amount at X.

QC21746