• Service: Tax, Global Compliance Management Services, International Tax
  • Type: Regulatory update
  • Date: 7/30/2013

Australia - Continuing focus on R&D tax incentive compliance 

July 30: Australia’s research and development (R&D) tax incentive is jointly administered by the Australian Taxation Office and AusIndustry (on behalf of Innovation Australia).

Ausindustry has responsibility for the eligibility of R&D activities. The Australian Taxation Office (ATO) has responsibility for R&D-related expenditures.

The ATO indicated its continuing focus on the R&D tax incentive, and announced it will work closely with AusIndustry in determining that taxpayers apply the R&D activities definition appropriately, including—

  • Whether a given software development is for the dominant purpose of internal company administration or not
  • Testing for a direct link between the registered R&D activities and expenditure being claimed

Read a July 2013 report prepared by the KPMG member firm in Australia: R&D tax incentive – ATO and AusIndustry compliance focus

©2013 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.

The KPMG logo and name are trademarks of KPMG International.

KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.

The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

Direct comments, including requests for subscriptions, to
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.


Share this

Share this


Subscribe to receive the latest TaxNewsFlash email alerts (you must select the option for TaxNewsFlash)

Already a Subscriber? Login

Not a member? Subscribe now