Australia’s Rank for Innovation “Input” and “Output” Research indicates that Australia underperforms when it comes to commercialising its strong research base. A recent OECD paper found that Australia is behind in the technology race for what is termed “innovation output,” or exchanging knowledge and developing ideas to address a specific problem. Despite this, Australia performed very well in relation to “innovation input,” or originating new ideas, due in part to its world-class research institutions, ranking 8th out of 36 for […]
The following R&D tax update seeks to provide information on recent developments affecting the operation of the incentive, and compliance issues relevant to the building and construction industry. Recent R&D Tax Offset and Income Tax Rate Changes The Budget Savings (Omnibus) Bill 2016 passed both houses of parliament in September 2016. Included within the Bill’s range of budget savings measures was a uniform 1.5% reduction in R&D tax offset rates, which will apply to R&D claims for income years starting on […]
The Department of Industry, Innovation and Science and the Australian Taxation Office (ATO) have recently released joint taxpayer alerts on a range of R&D Tax issues. The alerts have highlighted issues identified by the ATO and AusIndustry, such as: Activities registered being ordinary business activities that are not eligible for the R&D Tax Incentive; Expenses included in the calculation of claims that are not for amounts that relate to eligible R&D activities; Expenses included in the calculation of claims that relate to […]
In October 2016, Ford Australia permanently ended local manufacturing in Australia which consequently terminated the employment of 580 workers. Ford had been manufacturing locally for 91 years prior to this decision. In 2017, following from this decision, Ford transformed what was previously the Australian head office into the Asia Pacific Product and Development Centre. This newly created facility is the central hub for research and development, driving the innovation of products and mobility solutions, and producing state-of-the-art virtual design and […]