In September 2019, the Senate resolved to establish a Select Committee on Financial Technology and Regulatory Technology to inquire on a range of matters including “the effectiveness of current initiatives in promoting a positive environment for FinTech and RegTech start-ups”. This committee signifies that the government considers Fintech to be an industry of strategic importance. As part of the inquiry, the Committee has taken submissions, and a number of key stakeholders have raised the R&D Tax Incentive, which is obviously […]
In early January 2021, the AFR published a story in respect of an Australian R&D Entity taking legal action against a large professional advisory firm in respect of allegations that its tax advice was below industry standards, not fit for purpose, and not undertaken with due care or diligence. The case specifically relates to R&D Claims the Australian R&D Entity made in the in the FY14 and FY15 periods which were subject to reviews by the ATO and AusIndustry, leading […]
The Government’s R&D Tax Incentive budget announcement on 6 October 2020 largely backed away from previously proposed and widely condemned retrospective cuts to the program and contained some additional R&D Tax benefits not previously anticipated, which are to apply from FY22. The SMH has this week reported that Australian companies have made substantial increases in their R&D Budgets as a direct result of the government’s R&D Tax Measures passed late last year. Cochlear and Resmed are quoted by the SMH […]
One of the most high profile R&D Tax disputes has been that of engineering contractor Monadelphous. In August 2019 Monadelphous recognised a $7 Million provision relating to repayment of R&D Claims for the FY15 and FY16 periods. The provision indicated that the underlying disputed R&D Activities may have R&D Expenditure of around $70 to $80 Million, and followed a previous announcement in May 2019 that the company had received notices of amended assessments from the ATO relating to findings by […]