Perth, Western Australia’s vibrant hub for innovation and industry, is home to a growing number of businesses leading the way in research and development (R&D) R&D Tax Incentive Perth. From mining and energy technologies to biotech, agriculture, and advanced manufacturing, Perth-based companies are increasingly turning to the R&D Tax Incentive to support their innovation efforts.
What is the R&D Tax Incentive?
The R&D Tax Incentive is an Australian Government program designed to encourage businesses to invest in research and development. It provides refundable and non-refundable tax offsets for eligible R&D activities, reducing the cost and risk of innovation.
Eligible companies conducting R&D in Perth — or anywhere in Australia — can claim:
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A 43.5% refundable tax offset for companies with an annual turnover of less than $20 million.
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A 38.5% non-refundable tax offset for companies with an annual turnover of $20 million or more (adjusted by R&D intensity from FY22-23 onwards).
Who Can Benefit in Perth?
Perth’s diverse economy makes it an ideal environment for R&D. Eligible industries include:
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Mining and Resources: Innovations in exploration, drilling, automation, and environmental management.
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Renewable Energy: Solar, wind, hydrogen, and battery storage developments.
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Health and Biotech: Drug development, medical devices, and digital health tools.
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Agribusiness and Food Tech: Precision agriculture, sustainable farming, and food processing technology.
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Engineering and ICT: Software development, robotics, AI, and cyber security solutions.
Startups, SMEs, and established firms in Perth’s key industries are all potential beneficiaries.
What Activities Qualify?
To qualify, R&D activities must:
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Be experimental, aimed at generating new knowledge.
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Involve a systematic progression of work based on scientific principles.
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Be intended to resolve technical uncertainty.
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Be undertaken in Australia (though overseas activities can be eligible in limited cases with approval).
Examples might include prototype development, software testing, process improvements, and technical feasibility studies.
How to Apply
To access the R&D Tax Incentive in Perth:
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Register your R&D activities with AusIndustry (a division of the Department of Industry, Science and Resources) within 10 months of the end of your company’s income year.
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Lodge your claim with the ATO (Australian Taxation Office) when you submit your company tax return.
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Maintain detailed records, including project plans, experiment results, technical reports, and cost breakdowns.
Why Perth Businesses Should Take Advantage
With strong state support for innovation and a network of R&D tax advisors, incubators, and universities, Perth businesses are in a prime position to benefit. The R&D Tax Incentive can:
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Improve cash flow, especially for startups.
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Fund further innovation or product development.
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Provide a competitive edge by accelerating time to market.
Final Thoughts
The R&D Tax Incentive is more than just a tax break — it’s a vital funding tool that enables Perth businesses to pursue innovation with confidence. Whether you’re refining mining processes, developing green energy solutions, or building the next breakthrough in biotech, the R&D Tax Incentive can help bring your ideas to life.
If you’re based in Perth and innovating, now is the time to explore your eligibility and leverage the power of R&D tax support.