Industry classification
The R&DTI is available to eligible R&D entities in any industry. Industry types are based on Australian and New Zealand Standard Industrial Classification (ANZSIC) divisionsExternal Link. Companies self-classify when they lodge their company tax return. The ANZSIC divisions reflect the industry of the main business activity undertaken by the company and may not be the industry in which the R&D activity is undertaken.
Top 5 industries overall
The top 5 industries for which R&D expenditure was claimed for the 2023–24 income year (in order of expenditure claimed) are:
- Professional, scientific and technical services – covering a broad range of businesses within those fields. The report includes scientific research, computer system design and accounting services within this industry.
- Manufacturing – including businesses mainly engaged in the physical or chemical transformation of materials, substances or components into new products (except agriculture and construction). The report contains companies in furniture, metal, wood and chemical manufacturing.
- Mining – including business that extract naturally occurring mineral solids (such as coal and ores), liquid minerals (such as petroleum) and gases (such as natural gas). The report includes companies involved exploration, extraction and other mining activities within this industry.
- Wholesale trade – including businesses mainly engaged in purchase and on-selling, commission-based buying, and commission-based selling of goods, without significant transformation, to other businesses. The report contains grocery, machinery and vehicle wholesale traders.
- Information media and telecommunications – covering a variety of businesses engaged in the creation, enhancing and storing of information products in the media, transmitting information products and providing transmission services. The report includes internet service providers, publishers and telecommunication service providers.
Table 3 and Graph 3 provide a breakdown of the industries for which R&D expenditure was claimed by their total claim amount.
|
Industry |
R&D expenditure 2023–24 ($) |
R&D expenditure 2022–23 ($) |
|---|---|---|
|
Professional, scientific and technical services |
6,506,598,317 |
6,193,638,114 |
|
Manufacturing |
3,557,732,635 |
3,572,725,599 |
|
Mining |
1,371,614,852 |
1,480,284,373 |
|
Wholesale trade |
946,319,147 |
924,425,245 |
|
Information media and telecommunications |
890,482,597 |
824,646,758 |
|
Financial and insurance services |
888,333,106 |
797,903,089 |
|
Agriculture, forestry and fishing |
412,837,769 |
398,962,437 |
|
Electricity, gas, water and waste services |
396,916,602 |
327,447,204 |
|
Retail trade |
361,409,112 |
349,338,588 |
|
Health care and social assistance |
296,966,451 |
265,675,090 |
|
Construction |
265,755,472 |
265,438,792 |
|
Transport, postal and warehousing |
158,574,565 |
146,098,176 |
|
Arts and recreation services |
119,517,455 |
142,002,992 |
|
Rental, hiring and real estate services |
118,805,419 |
121,444,907 |
|
Administrative and support services |
117,761,985 |
114,855,752 |
|
Education and training |
94,500,211 |
85,111,141 |
|
Other services |
77,802,178 |
69,528,511 |
|
Public administration and safety |
57,633,448 |
62,722,154 |
|
Accommodation and food services |
31,238,040 |
31,348,255 |
|
Special ATO Division (out of ANZSIC scope) |
459,930 |
525,490 |
Graph 3 – Total R&DTI expenditure by industry for the 2023–24 and 2022–23 income years
Table 4 and Graph 4 provide a breakdown of the top 5 industries for which R&D expenditure was claimed by number of overall claimants.
|
Industry |
Number of claimants in 2023–24 |
Number of claimants in 2022–23 |
|---|---|---|
|
Professional, scientific and technical services |
5,955 |
5,663 |
|
Manufacturing |
2,648 |
2,638 |
|
Wholesale trade |
749 |
734 |
|
Information media and telecommunications |
662 |
621 |
|
Financial and insurance services |
494 |
530 |
|
All other industries |
2,982 |
2,770 |
Graph 4 – Top 5 industries by number of R&DTI claimants for the 2023–24 and 2022–23 income years
Top 5 industries – public and multinational businesses
The top 5 industries for public and multinational businesses (in order by number of claimants) are:
- professional, scientific and technical services, with 1,115 companies claiming a total of $2,854 million in R&D expenditure
- manufacturing, with 433 companies claiming a total of $2,139 million in R&D expenditure
- mining, with 280 companies claiming a total of $1,305 million in R&D expenditure
- wholesale trade, with 141 companies claiming a total of $606 million in R&D expenditure
- financial and insurance services, with 102 companies claiming a total of $516 million in R&D expenditure.
The following graph shows the breakdown of the top 5 industries for public and multinational businesses by number of overall claimants.
Graph 5 – Top 5 industries by number of claimants for public and multinational businesses in the 2023–24 and 2022–23 income years
Top 5 industries – privately owned and wealthy groups
The top 5 industries for privately owned and wealthy groups (in order by number of claimants) are:
- professional, scientific and technical services, with 1,497 companies claiming a total of $1,970 million in R&D expenditure
- manufacturing, with 994 companies claiming a total of $986 million in R&D expenditure
- wholesale trade, with 321 companies claiming a total of $235 million in R&D expenditure
- financial and insurance services, with 194 companies claiming a total of $270 million in R&D expenditure
- information media and telecommunications, with 182 companies claiming a total of $199 million in R&D expenditure.
The following graph shows the breakdown of the top 5 industries for privately owned and wealthy groups by number of overall claimants.
Graph 6 – Top 5 industries by number of claimants for privately owned and wealthy groups in the 2023–24 and 2022–23 income years
Top 5 industries – small businesses
The top 5 industries for small businesses (in order by number of claimants) are:
- professional, scientific and technical services, with 3,341 companies claiming a total of $1,683 million in R&D expenditure
- manufacturing, with 1,220 companies claiming a total of $432 million in R&D expenditure
- information media and telecommunications, with 379 companies claiming a total of $148 million in R&D expenditure
- wholesale trade, with 287 companies claiming a total of $105 million in R&D expenditure
- retail trade, with 279 companies claiming a total of $91 million in R&D expenditure.
The following graph shows the breakdown of the top 5 industries for small businesses by number of overall claims.
Graph 7 – Top 5 industries by number of claimants for small businesses in the 2023–24 and 2022–23 income years