R&D Tax Farming Claims: When Can You Reap What You Sow

Posted by Dec 1, 2016 12:59:00 PM by Kris Gale


The recent publication of Specific Issue Guidance and a summarised R&D Finding by AusIndustry has placed renewed focus on concerns about invalid claims being made in the agriculture sector.

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An R&D Activity Is Not A ‘Business As Usual’ Activity, Is It?

Posted by Sep 14, 2016 2:45:00 PM by Kris Gale


At the joint AusIdustry/ATO R&D Tax Incentive Workshop conducted in Sydney this June, one of the risk areas associated with the R&D Tax Incentive (the Incentive) that was explored was the claiming of ordinary business activities as R&D.

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Software R&D - What if the Pretzel is considered an Asset?

Posted by Sep 7, 2016 2:39:09 PM by Ian Ross-Gowan


In our third and final blog entry on software R&D for now, we will look at the issues surrounding the capitalisation of software expenditure. As we presaged in our last blog entry, we can’t promise a rollicking read but the questions still fall to be considered.

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Software R&D Costing The Untwisted Pretzel

Posted by Aug 25, 2016 3:58:29 PM by Kris Gale


As discussed in our last blog entry, the R&D in software is no different from the R&D in engineering or product development because the R&D is comprised of the experiments that test the efficacy of the hypothesis. The R&D is made up of the core activities that test whether the hypothesis is proven to be correct or incorrect, along with the directly related supporting activities needed to be done to help test this hypothesis.

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Software R&D - Untwisting The Pretzel

Posted by Aug 4, 2016 2:30:00 PM by Kris Gale


Since the R&D Tax Concession (the Concession) began in 1985, the eligibility of software R&D has been the subject of continuous conjecture and debate so much so that many have likened making a successful software R&D tax claim to untwisting a pretzel.

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The R&D Tax Incentive – The Search For A Trusted R&D Tax Agent

Posted by Jul 27, 2016 2:44:59 PM by Kris Gale


Last week, we delineated the current risk issues associated with the R&D Tax Incentive (Incentive) as presented by AusIndustry and the ATO. Close to our heart were the concerns raised by the described incidents of poor practice by so-called R&D tax ‘consultants'.

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Handling The Risks In Claiming The R&D Tax Incentive

Posted by Jul 20, 2016 3:08:00 PM by Kris Gale


As the dust cloud that was the recent Federal Election settles, we welcome Greg Hunt and Craig Laundy to the Industry, innovation and Science portfolio. One imagines that a high priority for the new team will be to publish the Ferris/Finkel/Fraser report on the R&D Tax Incentive (the Incentive) and get to work on the next round of reforms to the program.

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Do you know the difference? Government Grants versus the R&D Tax Incentive.

Posted by Feb 18, 2016 12:00:00 PM by Kris Gale


There are roughly 700 business grants offered by the three tiers of government in Australia. Do you know which ones apply to you?

Approaching this smorgasbord is a real problem for smaller companies that are owner-operated, as the return is rarely in proportion to the time spent applying.

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Claiming the R&D Tax Incentive? Why a success fee may not be a good idea.

Posted by Feb 16, 2016 12:00:00 PM by Kris Gale


There are two basic models for outsourcing tax claims - and one of them is not what it seems.

The first is Fee for Service and the second is known as a Success Fee.

A Fee for Service is a set cost, established up front and charged on an annual basis.

In managing R&D Tax Incentive claims for our clients, I see the work in large part being one of compliance. The set fee covers the cost of registering for the Incentive, handling the schedule, identifying and collecting original documentation and making the financial calculations. All the necessary tasks to handle any questions the Government regulators, namely the ATO and AusIndustry, ask of you.

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Have you developed any new or improved products or processes in your business? Did you know you can claim up to 45% of your costs back?

Posted by Feb 11, 2016 12:00:00 PM by Kris Gale


When I meet people who run their own business, I am often struck by the ingenuity, enterprising spirit and pride that goes with building a successful company.

They have carved a niche in their sector, take pride in their services and products and have the satisfaction of having overcome many problems along the way.

They are constantly watching the market closely for opportunities and finding ways to increase their profitability and clientele by entering any new space that becomes available.

I call this innovation but many business owners call it common sense. Many don’t realise there is a government subsidy for innovation within small business.

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