Indestructible tax incentive

The R&D TI is ten – not everybody wishes it a happy birthday

The Commonwealth’s help for business website celebrates the tenth anniversary of the Research and Development Tax Incentive and assures us, it willcontinue building on the positive impact it has had on businesses and the economy.”

Um, that that will be the tax concession reviewed by Bill Ferris, Alan Finkel and John Fraser (see umpteem CMM stories since 2016). They found, “the programme could be better targeted. The areas of improvement identified in this review would be likely to generate greater benefit from the programme for the Australian economy.”

Treasurers have a had goes at reform, but elections and Senate consideration got in the way.

Research lobbies have long argued that the incentive could include a premium for partnering with universities and research institutes but alas there is no slice of birthday cake for them.