How it affects your organisation
Innovation is crucial to the growth of companies, and nowhere is this more clear than in the life sciences industry. Research and development (R&D) is about much more than white coats and polished laboratories. R&D involves innovations across all aspects of business, including new products, enhanced processes and fresh ways of working. But innovation can be an expensive pursuit.
How Grant Thornton can help
Even though the understanding of taxation support for R&D is very high within the Life Sciences and Biotechnology sphere in Australia, significant opportunities and complexities still exist.
As most organisations are aware, the R&D incentive has two tiers:
- A 45% tax offset for businesses with an aggregate turnover of less than $20 million, which may be available as a cash rebate if the business is in losses (benefit of 15c in the dollar)
- A 40% non-refundable tax offset for businesses with a turnover greater than $20 million (benefit of 10c in the dollar)
Grant Thornton can assist to:
- Get certainty on the eligibility of activities or expenditure under the R&D Tax Incentive
- Help you to claim for R&D activities you need to undertake offshore
- Assess whether you have the potential to claim for foreign-owned R&D
- Ensure you get the supporting documentation and cost identification processes right