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Find out what's new for R&D in legislation or other changes to consider when preparing the R&D schedule.

Published 30 May 2026

R&D activities relating to gambling and tobacco

This measure isn’t law yet. Once the measure is law, some activities relating to gambling and tobacco will be excluded from eligibility for the R&D tax incentive.

The Government announced this proposed change in the Mid-year Economic and Fiscal Outlook 2024–2025, for income years starting on or after 1 July 2025. It is proposed that some R&D activities relating to gambling and tobacco will be excluded from eligibility for the R&D tax incentive. However, activities that are solely for the purpose of harm reduction (for example reducing addiction) won't be excluded. 

Continue to: Who can claim the R&D tax incentive?

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