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MJA Updates

R&D tax rate cut effective from 1 July 2016

September 16, 2016 Sarah Lander

Just before midnight last night, the Senate voted to approve the Budget Savings (Omnibus) Bill 2016. As you will recall from an earlier MJA Update, this Bill included a 1.5% rate cut to the R&D tax offset.  This rate cut applies to all eligible entities for tax years commencing on or after 1 July 2016. Whilst other aspects of the…

A new season, new Parliament and a new attempt to cut the R&D Tax Offset rate

September 1, 2016 Sarah Lander

Yesterday, the 45th Parliament introduced the Budget Savings (Omnibus) Bill 2016 which included a range of measures to progress towards “fiscal repair”. One of these 24 measures was the re-introduction of mooted cut to the R&D Tax Incentive. The Bill proposes a 1.5% rate cut to all eligible entities but, unlike the previous incarnation, this Bill is not retrospective and…

2016/17 Federal Budget – When No News Is Actually Quite Good News

May 4, 2016 Kris Gale

Last night’s Federal Budget has little risk of being remembered as an innovation budget. In fact, innovation only got a run in the context of confirming a series of measures previously announced by the Prime Minister in last year’s National Innovation & Science Agenda. However, the welcome knock-on effect of the announcement of a Ten Year Enterprise Tax Plan (the Plan)…

Cuts to R&D Tax Incentive Appear To Be Dropped

April 21, 2016 Kris Gale

When Malcolm Turnbull requested the Governor General to prorogue Parliament to deal with a hostile Senate, he (most likely unintentionally) caused the Bill to cut the rate of the R&D Tax Incentive by 1.5% to lapse on Sunday night. The Bill, which had proposed a rate cut to apply retrospectively for all claims from 1 July 2014, has been up for…

Submitting to an R&D Tax Incentive Review (Again). Why You Should Bother

February 15, 2016 Kris Gale

Last week, we alerted you to the Review of the R&D Tax Incentive (the Review) as part of the National Science And Innovation Agenda (the Agenda) and to the fact that the Review Chairs have released an Issues Paper to assist stakeholders who wish to provide additional input to the Review. (For more information or to view the Issues Paper visit…

We have been saying that R&D can be part of business as usual and the AAT agrees

February 9, 2016 Kris Gale

Posted by 9/2/2016 2:41 PM by Kris Gale The recent AAT decision, JLSP and Innovation Australia [2016] AATA 23 (22 January 2016) http://www.austlii.edu.au/au/cases/cth/AATA/2016/23.html, is the first decision on the definition of R&D since the R&D Tax Incentive (the Incentive) provisions were introduced in 2011. This decision confirms that R&D can be undertaken in a commercial context and it is possible to…

What’s your new year’s resolution?

January 12, 2016 Melanie Reen

To exercise more? To improve your diet? To stop wasting time on cat videos? Research suggests that most New Year’s resolutions are unlikely to succeed. However, if your resolution is to improve the documentation of your R&D activities, we would suggest that this is a resolution you should work hard to ensure you keep. Following on from a long list…

This time of year, it’s all about the messaging

December 23, 2015 Kris Gale

We think it’s fair to say that people may have got a touch overexcited about what might have been in the Prime Minister’s recent Innovation Statement. There was talk of new funding for competitive grant programs for industry, a radical overhaul of the R&D Tax Incentive (the Incentive) and the like. As we saw, the announcement was a modest one…

Innovation Statement: R&D Tax Incentive Under Review (Again)

December 7, 2015 Kris Gale

Earlier today, the Prime Minister, Malcolm Turnbull,  unveiled the Federal Government’s National Innovation and Science Agenda. Full details of the statement can be explored at http://innovation.gov.au/page/agenda Seeking to emulate the mining boom with a more permanent  “ideas boom”, the Government’s announcement revolves around four key ideas: culture and capital, collaboration and skills, incentivising risk, and government as an exemplar, with Mr…

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