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James Millar
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Pol L, post: 268875, member: 116791 wrote:
Thanks James. I’ve heard some horror stories on the amount documentation that needs to be kept and the audits that are done. You know small businesses don’t have the time to keep tons of docs…
Is this scheme more for the big end of town ?

Cheers!

Yes there are some decent documentation requirements around registration, projects and claiming. And no its not just for big end as there are plenty of micro businesses that claim the concession. As a matter of fact the scheme was changed several years ago to provide an immediate tax rebate to help small businesses which previously never existed (originally the concession just provided an uplift to deductions and losses which were only valuable if recouped by long term profits – which not every company made). To give you an idea of scale – you only need $20k plus in eligible R&D expenditure to make a claim.

Best of all there are plenty of advisers and accountants that you can offload much of the responsibility to. Of course you can expect to pay for this service. Just beware of the ultra low cost options because you will find they are generally higher risk and the risk falls on your shoulders as the taxpayer.

So in my opinion if the benefit of the claim exceeds the cost of the claim then its a no brainer.

Helping build better businesses and better lives with expert financial and taxation advice. [email protected] www.360partners.com.au 03 9005 4900