With tax time nearly here, you might be looking for claim advice. But be wary when claim advice comes looking for you!
While most tax professionals act ethically, we're concerned about those promoting aggressive R&D arrangements – often through unsolicited contact.
These tax professionals cold call companies, claiming they can increase their R&D offset. They claim extra activities and expenses on the company's behalf that they're not entitled to, including:
- normal business activities and expenses
- overhead expenses not linked to the company's R&D activities.
They may even suggest alternative business structures to increase the offset.
They may not charge you an upfront free, and instead only charge a percentage of the refund you receive. This may sound appealing until we review the claim and ask the company to repay the overclaimed amount plus additional penalties. The company is then left with the consequences, including increased scrutiny from us.
Don’t let this happen to you!
Further, make sure your tax professional checks your claim against your records. For example, in August 2025 the Tax Practitioners Board (TPB) terminated Richard Gregg’s registrationExternal Link because he lodged ineligible R&DTI claims for his clients, costing them $800,000 in penalties. Unfortunately, those companies learnt the hard way that you can be held accountable for your own claim, no matter what advice your tax professional gave you.
Protect yourself from unscrupulous operators. Learn how to tell good advice from bad.
Signs of good advice
Your tax professional:
- is registered – check at www.tpb.gov.au/public-registerExternal Link
- clearly explains your obligations
- asks questions to understand your operations
- provides comprehensive guidance on R&DTI program requirements.
Red flags to watch out for
Be wary if your tax professional:
- gives advice that seems too good to be true
- uses aggressive sales tactics
- charges based on excessive commissions or contingency fees
- registers entire R&D projects rather than specific activities
- provides limited or no advice on eligibility, or your record-keeping and substantiation obligations
- doesn't verify facts or examine records.
If something seems off
If R&DTI advice seems suspicious, you should get a second opinion, verify it on our website or contact us.
If you believe a tax professional is doing the wrong thing, you can:
- make a complaintExternal Link to the TPB (related to conduct and professionalism)
- make an anonymous tip-off to us (related to tax compliance).
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