The R&D Tax Incentive
The financial case for Australia, explained simply.
01
The headline number
Eligible R&D conducted in Australia can attract a cash-refundable tax offset of up to 43.5%, although the exact amount is dependent on a company’s structure and circumstances.
02
What it means in practice
A materially lower net cost per patient and per study, and a significant part of why Australia compares so favourably with the US and Europe on total study cost.
03
Eligibility at a high level
The incentive generally requires an Australian entity, and companies claiming it typically act as their own trial sponsor. Many overseas sponsors establish an Australian subsidiary for this purpose.
04
How Avion CRO helps
Avion CRO and its advisors help sponsors understand whether the incentive fits their programme and what structure it requires.
Common Questions
Eligible R&D conducted in Australia can attract a cash refundable tax offset of up to 43.5% of eligible expenditure. Most companies receive less than the maximum, depending on their structure and circumstances, so independent advice is essential.
The incentive generally requires an Australian entity, and claimants typically act as their own trial sponsor. Many overseas sponsors establish an Australian subsidiary for this purpose, and Avion CRO and its advisors can help you understand whether that fits your programme.
For eligible smaller companies the offset is refundable, which can mean cash back rather than only a reduced tax bill. Eligibility depends on legislation and your circumstances, so seek independent tax advice.
This page is general information only, not tax or financial advice. Sponsors should seek independent advice on their own circumstances.