More and more foreign entities are undertaking R&D activities in Australia to access the R&D Tax Incentive scheme. Such activities are conducted by an Australian subsidiary, and typically include pre-clinical and toxicology, phase I, II or III clinical trials, CMC, and prototype development or testing. The Incentive is provided by the Australian government as a means of encouraging companies to undertake R&D which benefit Australia.
Whilst the Incentive can provide a useful way to advance development programs in a relatively low cost way, it has a number of technical requirements which may impact how the Incentive is best applied and whether the participant receives the appropriate entitlement, or whether the R&D activities are in fact eligible at all. Accordingly, it is important to obtain appropriate, specialised advice on legal, IP and tax considerations to ensure that the Incentive is suitable for your needs, and if so, is established properly.
How we can assist you:
At Solubility, we work closely with tax advisers to ensure all eligibility requirements are met, as well as to ensure the appropriate structure is used taking all considerations into account. With competitive fixed fee arrangements available, we are also well placed to assist the Australian subsidiary with its ongoing legal needs.