Research and development tax incentive - amounts you can claim

Expenditure included in the cost of a depreciating asset

Expenditure included in the cost of a tangible depreciating asset is ineligible for a notional deduction under the R&D expenditure provisions. Notional deductions for the decline in value of R&D depreciating assets must be considered under the R&D decline in value provisions.

For further information on the R&D decline in value provisions, see Decline in value of assets used for conducting R&D activities.

Sections within Expenditure that is ineligible under the R&D tax incentive

• Interest expenditure
• Expenditure that is not at risk
• Core technology expenditure
• Expenditure included in the cost of a depreciating asset
• Expenditure incurred to acquire or construct a building