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New R&D Decision impact statement released

New Decision impact statement on R&D activities eligibility.

Published 21 April 2024

We’ve released a Decision impact statement outlining our position following the Administrative Appeals Tribunal’s (AAT) 16 February 2024 decision in GQHC and Commissioner of Taxation. 

The AAT’s decision includes consideration of whether we can deny R&D tax incentive claims for R&D expenditure, on the basis that the self-assessed registered R&D activities don’t meet the eligibility criteria. 

The AAT held that the activities weren’t eligible R&D activities, and if the activities were eligible activities, a feedstock adjustment would be required for certain expenditure claimed.  

In its decision, the AAT supported our view that the Commissioner can assess whether registered activities are eligible R&D activities, when the Department of Industry, Science and Resources has not, or cannot, make a finding. 

The AAT reinforced how important it is for companies that seek to claim an R&D tax offset, to maintain sufficiently detailed, contemporaneous records of any activities claimed as R&D. 

You can find the Decision impact statement at: GQHC and Commissioner of Taxation