The way companies apply for the Research and Development Tax Incentive program has changed. The government has recently updated its 2021 R&D Tax Incentive application form to an online form process, with new information requirements. To help you navigate these changes Kate Mahady has prepared a brief summary on how to access the form and what the key changes are.
The form has changed to an online form requiring registration of your RDTI advisor to work on your behalf via myGovID. Tip - there have been some issues with certain browsers - try a different browser if this persists. Also, there is no need to provide your advisor with access to the RAM portal. Login to the R&D Tax Incentive portal and you can ‘Add New Authorisation’.
The form doesn’t allow for two people to be in the form at the one time and changes being saved so each review will need to be done separately.
The form has moved away from project based descriptions to activity based descriptions. Companies now need to reference new knowledge and technical uncertainty on an activity rather than project basis.
In line with the activity focus, companies are now also required to cost on an activity rather than project basis. This is a big change for many companies and will require companies to potentially adjust timesheets and other cost methodologies to break down costs at this level. Please contact us if you need help in setting up these systems.
There are currently strongly worded warnings on compliance risk for certain industries. The ANZSIC code for ‘Professional, Scientific and Research Services’ is one of these. So are many other areas including ICT and manufacturing. This is largely due to these being the largest claimants of the program. It is aimed at encouraging companies to review the guidance.