• R&D partnerships

    If you are a partner in an R&D partnership, special rules apply when working out who the R&D activities of the partnership are carried out for. Also, in an R&D partnership, the R&D tax incentive rules treat:

    • R&D activities conducted by or for the R&D partnership as if they were conducted by or for the partner in a corresponding way
    • relationships that the R&D partnership has with other entities that relate to the R&D activities as if the partner had corresponding relationships with those other entities
    • things done by or for the R&D partnership that relate to the R&D activities as if they were instead done by or for the partner.

    The R&D activities are also treated as if they are not conducted by or for the R&D partnership, or for any other partner of the R&D partnership.

    These deeming rules mean an R&D entity that is a partner of an R&D partnership can satisfy the requirement that the R&D activities are conducted for that R&D entity and not for another.

    Further information

    For more information on:

    • who the R&D activities can be conducted for, refer to subsection 355-210(1) of the ITAA 1997
    • R&D partnerships and who the R&D activities are conducted for, refer to section 355-515 of the ITAA 1997.
    End of further information
      Last modified: 25 Oct 2016QC 26121