We have rich conversations with our clients every day, and increasingly these conversations are happening online. We encourage you to ask questions, share your views, and connect with like-minded professionals.
KPMG Capital focuses on investments and opportunities in the Data & Analytics space.
KPMG's Global IFRS Institute provides information and resources to help Board and Audit Committee Members, Executives, Management, Stakeholders and Government Representatives gain insight on the evolving global financial reporting framework.
KPMG’s global network of climate change and sustainability practices helps you build long-term value in a rapidly changing world.
Mining organizations need to adapt across the mining asset lifecycle, from expansion to closure, as changing economic, political and regulatory environment demand greater flexibility.
The Chemical industry’s landscape is changing fast - global companies are developing or launching new products and services – and appear optimistic - setting sights on geographic expansion.
KPMG explores the ways in which organizations are preventing, detecting, and responding to anti-money laundering compliance risks.
2014 is set to be another year of unyielding regulatory change. This report explores how these changes are impacting insurers and insurance markets around the world.
The global job search tool allows you to search available career opportunities within many of our 150 member firms worldwide.
KPMG's International Case Competition (KICC) is a chance for students to challenge yourself to solve a real business issue and an opportunity to meet new people across the globe.
The really impacted tax incentive is to provide a difference to countries in attracting and maintaining capital investment. As we have seen in recent years, particularly after the financial crisis, there is a real battle for capital in the world, in particular in this region. And what we are finding is that governments are particularly looking at how they can use as a lever headline corporate tax rights and augment them by taxing incentives for R&D in particular. There is a real recognition that the value of R&D’s clear. It underpins economic growth and hence we are seeing a real surge in activity in this particular area.
Whilst there are many companies who are taking advantage of R&D tax incentives, we are seeing that there’s inconsistencies in the region and indeed around the world. The whole issue of R&D tax incentives has truly become a global issue and there are companies out there who now recognize, just like in transfer pricing and other taxes, that there is a real imperative to ensure that processes are aligned around the world.
The R&D landscape in Asia Pacific is really an interesting story. We have on one hand those economies that have traditionally relied on investment in technology and R&D to underpin their growth, such as Japan and Korea. Indeed, Japan for a long time has been in the top three or four economies in the world. It now rates around number four in the world for it’s R&D spend but Korea, interestingly, is number two in the world. Now that’s a fantastic indication about how those economies have been able to take technology in areas like electronics and automotive to be able to put themselves on the global map. What we don’t have at the moment is an increase in the R&D spend amongst the developing economies such as China and India. We think though that the governments in those locations are very, very intent on ensuring that they invest heavily in R&D so that the trends that are being set by Japan and Korea can also be replicated.
There are a myriad of factors that a company should consider in deciding where to locate its R&D efforts. Clearly tax is an important consideration. Headline corporate tax rates, other taxes, indirect taxes, but also R&D incentives and whilst at face value it might be attractive to locate ones R&D activities in a place which has the highest rate, it’s really important for companies to understand what is the certainty of achieving those benefits and outcomes. For example, is it a mature rating or is it an emotive rating with a lot of uncertainty around outcomes? Whilst particularly in the services industry and in IT companies are a lot more agile than they used to be in manufacturing industries, it still is important because these are long term decisions. Ultimately it is only affective in considering where to invest in R&D, considerations also need to be made around what the local labor costs are, infrastructure, access to engineering and other scientific resources.
KPMG International Cooperative ("KPMG International"), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved.