R&D Tax Incentive State Reference Group (NSW/ACT) – 16 October 2019

By way of background this is a forum hosted by AusIndustry and the ATO, and is attended by the 25 largest R&D Tax Advisors (representing 50% of all R&D claims made) with a view to discussing operational/administrative matters relating to the program.  The Group meets 2-3 times per year, and this gives the program administrator’s an opportunity to share any updates, and gives the R&D Tax Advisors (on behalf of their clients) an opportunity to raise any issues with the administration of the program.

I attended the forum on behalf of Catalyst Solutions and the key points discussed were as follows:

  1. Taxpayers that owe the ATO money can have a hold put on their debt in instances where AusIndustry is undertaking an internal review of an R&D Tax Incentive claim.
  2. Both AusIndustry and the ATO are looking at updating some of their R&D guidance, particularly with reference to the type and level of documentation required to substantiate an R&D Tax Incentive claim. Whilst existing guidance almost exclusively references ‘best practice’ substantiation, the R&D Tax Advisors proposed the need for more guidance as to minimal acceptable substantiation.

Please get in touch if you would like to discuss this further.

By Dave Corbin