New incentives for R&D -: Recent changes to R&D tax concession:: 175% tax concession and cash rebates for R&D

'Backing Australia's Ability, the Federal Government's Innovation Policy announcement released on 29 January 2001, introduced a number of changes and additions to the R&D Tax Concession with a view to encouraging increased R&D spending. This article provides an update on the tax-based incentives available for R&D, including discussion of some recent changes to the legislation and new program elements. Among the changes was the introduction of 175% Premium Concession and an opportunity for companies in a tax loss situation to obtain a cash rebate for their expenditure on R&D via a new RD Tax Offset.