According to the statistics of the Australian Government, the GDP of the economy was valued at AU$ 1.89 trillion. There are many incentives provided by the government that the businesses utilize in order to improve their business and increase their turnover, like Research and Development Tax Incentive, EMDG, etc. So, if you want to know more about these incentives, you are reading the right article.
As the name suggests, it is a grant provided by the Australian government, which is aimed at the furtherance of business and turnover through goods and services in the export market. Almost all businesses are eligible for the same, only if they fill certain prerequisites. The grant is directly proportional to the marketing spend in the overseas market.
Any business can get a cash rebate up to 50% of the overseas marketing spend, and the maximum amount applicable is $ 150,000!
Some of the expenses, which are admissible in this category for the grant are social media expenses, trade show, and fair registration charges, salaries of overseas market representatives, application fee for trademark and patent, etc.
Research and Development is one of the most important investments that businesses make in their course of operation. It is undertaken by technology, pharmaceutical and service industry companies to develop a new product, or an important intellectual property, which will help them with the furtherance of business and increase in the turnover.
For instance, due to this pandemic, many of the pharmaceutical companies are developing the vaccine, and thus, they are incurring heavy research and development costs. The clinical trials, technical know-how of mass production, the technology needed, patents and trademark costs, etc. all fall under the Research and Development cost, which is usually amortized over a period of 5 or 10 years, depending on nature. This kind of cost will incur revenues for more than a fiscal year.
With the upcoming fiscal year, the study showed that companies with an annual turnover of less than $20 million will be able to access a 25 percent point tax offset providing a 43.5 percent refundable tax offset.
Since it is a complex process, many businesses look for consultants and Rimon’s EMDG and R&D tax incentive grant consultants can help you with the guidance that you need. So, now let us look at the tips to help you choose the right consultant for you.
When you are opting for tax or EMDG consultants, you must be well aware of their legal knowledge. Until and unless the law and the various amendments are clear to them, they will not be able to give you the right advice, and it will multiply your individual research.
The experience in the field matters a lot, as they will have to work on the day-to-day submissions for the receipt of the grants, submission of documents, etc. The working knowledge and your consultant’s involvement will make sure that the process is seamless for you.
Since it is a government grant, a thorough study of your books is mandatory. Your consultant must study the books, provide the right receipts, and only then, they will be able to prepare an application.
Where there are laws and statutes involved, you are bound to have queries. Right from the forms that you need to fill to the prerequisites you must fulfill to be eligible – you can have confusion at any stage of the process. The right consultancy firms must be able to answer all your queries.
Never work with a firm, which is not registered with the right statutory bodies. If your firm is registered, it seems legitimate and the freedom of doing business seems easier. Plus, in the professional fraternity, contacts help a lot, and once they are registered, they are bound to be connected with alike businesses in the industry.
Your consultants need to be proper professionals. Usually, lawyers and accountants are the right people for the job, and a degree helps with the credibility of their image and the reputation of the firm.
So, now that you know the criterion based on which you must choose the consultants, it’s time to begin the search!