The Research and Development (R&D) Tax Incentive registration deadline for 30 June 2015 balancing companies is rapidly approaching. The deadline is 30 April 2016 and this year it falls on a Saturday. This means companies can lodge by midnight on Monday 2 May 2016.
KPMG recommends companies register as early as possible to avoid possible processing delays by AusIndustry and to leave time to address any issues that may arise in preparing your R&D Registration application.
Approximately 40 percent of total applications are lodged in April with around 1,800 received by AusIndustry on the last day alone. This can lead to delays in AusIndustry processing your application and providing you with a registration number for your R&D Tax Incentive Schedule.
If a company lodges its registration after the deadline, it is considered a late application and will not normally be accepted. However, a late application may be accepted if the delay was due to exceptional circumstances, not the fault of the company and beyond its control – the reasons for late lodgment typically accepted by AusIndustry are few and far between.
The registration deadline this year immediately precedes the Federal Budget on 3 May 2016. The Budget this year is likely to have some impact on the R&D Tax Incentive, stemming from the recent review of the program.
KPMG will be preparing a Budget Brief that will include an analysis of any changes likely to impact innovative companies, whether claiming the R&D Incentive or not.