Category: News

Clinical Translation & Commercialisation Medtech (CTCM) Program – Round 2

Newsletter | September 9, 2022

 

MTPConnect’s Clinical Translation and Commercialisation Medtech (CTCM) program is a funding opportunity offered under the 2020 Early Stage Translation and Commercialisation Support Grant of the Medical Research Future Fund’s Medical Research Commercialisation Initiative.

The $19.75 million CTCM program is a four-year initiative which will identify and nurture high-quality medical device projects that have commercial potential and support their translation through early clinical trials.

By supporting the development of innovative medical devices, the CTCM program aims to improve the health and wellbeing of Australians, while also helping projects to generate commercial returns and create high-paying jobs in the medical products sector.

For the purposes of this grant opportunity, medical devices are defined by section 41BD of the Therapeutic Goods Act 1989 and further informed by the Therapeutic Goods (Articles that are Medical Devices) Specification 2014. You should refer to this definition for any regulatory purpose, including preparing your application. In summary, medical devices are defined as:

• are used for humans
• are hardware innovations intended to diagnose, prevent, monitor, treat or alleviate a disease or injury, or modify or monitor anatomy or physiological functions of the body
• generally achieve their purpose by a physical, mechanical or chemical action. Round 2 applications will be assessed in a multi-step process:
  • Phase I: non-confidential Expressions of Interest (EOI)
  • Phase II: consultation interview via videoconference
  • Phase III: Full proposal Activities supported will include, but are not limited to, product development and testing, clinical trial activity and regulatory support.

Ideas and concepts, with no technical validation at the time of application, and preclinical studies, are out of scope for this funding. Projects to develop research tools (e.g., databases or animal models) in isolation are not eligible. Non-human health programs are not eligible.

There must be evidence of experimental research that has been undertaken that validates the problem or the potential of the product/solution.

The applicant must demonstrate understanding of the market/end-user.

 
 

TIMELINE

1. EOI Open: Friday 9th September 2022
2. EOI Close: Friday 7th October 2022
3. EOI Outcome: Late Nov 2022
4. Consultation: Late Nov 2022 to Mid Jan 2023
5. Consultation Outcome: Early Feb 2023
6. Full proposal application: Early Feb 2023 to Early Mar 2023
7. Full proposal outcomes: Late Apr 2023
8. Contracting: Early May 2023 to Late Jun 2023
9. Funding term: On contract execution (24months)

 
 

WHO CAN APPLY?

For a proposal to be deemed eligible for CTCM Project Funding it must meet the following criteria:

The lead applicant must:

• be a registered Australian based business
• be incorporated in Australia
• have an Australian Business Number (ABN).
• have less than 200 employees.
• Demonstrated capacity to match the co-contribution requirement.
• The applicant’s project must involve the development of a medical device.
• The applicant must provide evidence of technical and/or commercial feasibility of their product.
• The applicant must control or have the legal right to access and use the relevant know-how and/or existing and/or potential intellectual property (IP), that will be necessary to undertake the proposed activities of the Research Project and to translate, implement or commercialise their product(s)/solution(s).
• Applicants must meet any applicable timing, formatting, system or other similar administrative requirements from MTPConnect during the application process.

It is understood that the lead applicant may not be the group manufacturing the device prototypes or final product design. To accommodate this scenario, partnerships and collaborations with Australian medical device manufacturers are allowed. A partner is not a mandatory requirement and is not considered an advantage or a disadvantage.

If a manufacturing partner is named, that partner must satisfy the following eligibility criteria. The partner must:

• be an Australian registered business
• be incorporated in Australia
• have an ABN
• establish and operate the manufacturing facility in Australia
• be ISO13485 accredited, achieve accreditation within the project activity period, or operate a quality management system aligned to ISO13485.

Other partner organisations can include, but are not limited to:

• universities
• medical research institutes
• clinical organisations or health care providers
• health systems
• consumer groups
• private research entities
• commercial entities
• not-for-profit organisations
• other end-users.

A partner or collaborator is not required to provide an additional matched cash co-contribution; however, any cash or in-kind co-contribution will be considered favorably.

 
 

FUNDING AVAILABLE

Funding of between $250,000 and $1.5 million is available per project across two funding rounds (FY2022 and FY2023).

 
 

FUND OBJECTIVES

The Clinical Translation and Commercialisation – Medtech Program aims to support early clinical development of medical devices with commercial potential.

While product development, manufacture and testing will be considered eligible activities, all projects must include clinical testing of devices.

The Clinical Translation and Commercialisation – Medtech Program will:

• Deliver consultation and commercialisation advice to guide project development and assessment
• Facilitate access to broader NCRIS and other critical engineering, fabrication and prototyping facilities to accelerate translation of early-stage discoveries
• Emphasise collaboration, partnering and consultation to nurture the next generation of health and medical research innovators and provide ongoing SME education
• Employ a process of continuous evaluation, based on established commercial principles, to optimise the potential for project success and maximise return on investment.

 
 

WHAT WILL BE FUNDED?

Examples of eligible expenditure include, but are not limited to:

• project consumables directly attributable to the delivery of project outcomes
• salaries (whole FTEs or fractional) directly attributable to the delivery of project outcomes. The maximum salary claimable per person, including packaged components (superannuation) is limited to $175,000 per financial year. On a case-by-case basis, where it can be adequately justified, CTCM funding may support salaries greater than $175,000 per financial year
• Commonwealth funded positions can be considered eligible to count towards an in-kind contribution. However, the Commonwealth funded position cannot also draw a salary from funds awarded through this grant opportunity for the same activity
• labour expenditure for leadership staff (e.g., founder, CEO, CSO, CMO) is considered eligible, provided there are direct, demonstrated and monitored links to project objectives and outcomes. Salaries for leadership staff will be limited to 10 per cent of the total amount of eligible labour expenditure claimable per person (i.e., maximum $17,500). On a case-by-case basis, where it can be adequately justified, CTCM funding may support leadership salaries greater than $17,500 per financial year
• labour on-costs are eligible. Examples of labour on-costs are employer paid superannuation, payroll tax, workers compensation insurance and leave entitlements (including paid maternity leave, sick leave, long service leave and recreation leave). These costs must be reasonable, appropriate and separately identified in the project budget
• accessing specialist professional services including regulatory consultants, manufacturing and product development firms, clinical research organisations, technology evaluation, process evaluation, key opinion leaders or strategic stakeholders
• accessing IP expertise as a service, freedom to operate search costs and provisional and PCT
  drafting and filing costs (or costs associated with comparable stages of IP protection e.g., trade marks, designs, copyright circuits etc.)
• access to specialist equipment, hardware and software essential to the research
• purchase of equipment that is essential to research capped at $80,000 in total. Justification for purchase and why the applicant(s) cannot support the expense must be provided
• prototyping and development of a Minimum Viable Product
• market research/testing and engaging with major customers and end-users including clinical trials
• data procurement and efforts to obtain regulatory approval
• international activity expenditure where it can be justified that this work cannot otherwise be performed in Australia and is critical to the success of the project. If proposed international activities and expenditure exceeds 10 per cent of the total CTCM project funding (grant funding plus co-contribution), the Department of Health must provide its approval (which will be managed by MTPConnect)
• essential travel within Australia directly related to project activities
• essential travel overseas on a case-by-case basis directly related to project activities

 
 

More Information

• Source
• Clinical Translation and Commercialisation – Medtech Program – Guidelines
• Clinical Translation and Commercialisation – Medtech Program – Application Form

 

For further tips for lodging your Clinical Translation & Commercialisation claim,
Give us a call or schedule an assessment

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call or schedule a free assessment.

VIC Waste to Energy Fund

Newsletter | August 8, 2022

 

In February 2020, the Victorian Government announced a $10 million waste to energy support package as part of Recycling Victoria: a new economy. A key commitment of this action plan is to halve the volume of organic waste going to landfill by 2030. Anaerobic digestion is considered a priority for investment in supporting waste to energy infrastructure development.

The Waste to Energy Fund aims to support the development of innovative bioenergy projects and business models to enable the implementation of best-practice infrastructure that builds capability and capacity in Victoria’s bioenergy sector.

 
 

TIMELINE

1. Applications open: Friday 1 July 2022
2. Applications close: Friday 26 August 2022
3. Notification of outcome: Expected January or February 2023.
4. Funding agreements established: April 2023
5. Projects commenced by: May 2023
6. Project completed by: 31 March 2025

 
 

WHO CAN APPLY?

Funding is available to Applicants that propose to generate bioenergy using organic materials and can demonstrate that this solution is the best value option in the Waste Hierarchy.

Eligible organisations include:

• businesses, industry groups or associations
• local government
• research institutes
• Charities
• Community Groups
• Social Enterprises
• other Not-For-Profit organisations.

 
 

WASTE TO ENERGY FUND OVERVIEW

The fund is aimed at a range of sectors, including but not limited to:

• Agricultural and livestock
• Forestry
• Food production
• Food retail including the hotel industry
• Wastewater management

Projects must meet one or more of the following objectives:

• increase the production of bioenergy in Victoria
• increase the diversion of organic material from landfill
• increase abatement of greenhouse gases
• increase business opportunities, economic development, and beneficial use of pathways across the bioenergy supply chain.

The Fund aims to achieve the following outcomes:

• increase the capacity of Victoria’s renewable energy generation
• increase in the amount of organic material diverted from landfill
• decrease greenhouse gas emissions
• purchase, install, and commission bioenergy infrastructure
• increase local employment
• develop realistic feasibility studies and business cases
• develop market pathways for bioenergy end products
• develop and analyse the feedstock market network
• develop clear regulatory and approval pathways.

 
 

STREAMS OF FUNDING

The funding is available through two streams:

• Stream 1: Project development – supports Applicants to scope, test, and gain approvals to achieve pre-construction and pre-financial close phases of a bioenergy project.
• Stream 2: Project infrastructure – supports Applicants with a proven business case in the purchase, construction, and commissioning of infrastructure to convert organic matter to bioenergy.

This grant program is funded through the government’s circular economy policy, Recycling Victoria: a new economy

 
 

FUNDING AVAILABLE

For Stream 1, each project can receive a grant of between $20,000 and $250,000 (ex. GST).

For Stream 2, each project can receive a grant of between $50,000 and $1 million (ex. GST).

Applicants must contribute at least $1 for every $1 requested.

 
 

WHAT WILL BE FUNDED?

Funding for Stream 1 will support projects that:

• focus on feasibility studies, technical studies or the development of business cases relating to a proposed facility that will generate energy from organic waste
• require support in pre-financial close stages
• use agricultural cropping residues, such as cereal straw and chaff
• use waste and manure from poultry, dairy, piggeries, and other animal operations
• use general food waste from commercial and industrial hospitality and retail operations
• use food manufacturing and processing wastes (including dairy, fruit, nuts, wine, and meat)
• use forestry wood residues from forest harvesting and wood processing as a feedstock
• are small scale bioenergy projects using fruit and vegetable waste from horticulture residues
• generate energy from paper and pulp manufacturing and related processing waste (that can’t be recycled into paper products)
• process biosolids, sewage and sludge waste.

Projects must:

• align with the objectives of the Fund
• be implemented in and service Victoria
• meet regulatory or planning requirements
• not have commenced or will not commence prior to entering into a funding agreement with SV
• be completed by 31 March 2025.

Costs that will be funded include:

• technology selection costs
• feedstock identification and end market research and development
• conducting laboratory testing of incoming feedstock
• engineering, procurement, and construction tendering related costs
• consultancy or contract work required for the project
• conducting testing required for approvals
• planning and regulatory approval costs.

You can submit multiple applications. Each application must be for a different project. An application must not be for multiple projects.

Funding for Stream 2 will support projects for a proposed facility that:

• will process a minimum of 51% organic feedstock from Victoria
• require capital to generate bioenergy from organic material in the form of heat, electricity, renewable gas, or liquid fuels
• have a site selected in Victoria
• have the potential to be replicated at other sites in Victoria (same or similar industry)
• use agricultural cropping residues, such as cereal straw and chaff
• use waste and manure from poultry, dairy, piggeries, and other animal operations
• use general food waste from commercial and industrial hospitality and retail operations
• use food manufacturing and processing wastes (including dairy, fruit, nuts, wine, and meat)
• use forestry wood residues from forest harvesting and wood processing as a feedstock
• are small scale bioenergy projects using fruit and vegetable waste from horticulture residues
• generate energy from paper and pulp manufacturing and related processing waste (that can’t be recycled into paper products)
• process biosolids, sewage and sludge waste.

Projects must:

• have a proven business case and co-financing support to proceed with infrastructure purchase
• have the chosen technology selected
• align with the objectives of the Fund and Recycling Victoria: a new economy
• be implemented in and service Victoria
• meet regulatory or planning requirements and have these pathways established and secured
• not have commenced or will not commence prior to entering into a funding agreement with SV
• be completed by 31 March 2025.

Costs that will be funded include:

• capital purchases
• supporting machinery for new project development
• upgrades or additions to existing bioenergy infrastructure or equipment
• construction and commissioning costs

Costs must be related to the project in your application form.

You can submit multiple applications. Each application must be for a different project. An application must not be for multiple projects.

 
 

More Information

• Source
• Stream 1 Guidelines
• Stream 2 Guidelines
• Stream 1 Webinar
• Stream 2 Webinar

 

For further tips for lodging your Waste to Energy Fund claim,
Give us a call or schedule an assessment

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call or schedule a free assessment.

Tips for Lodging an R&D Tax Incentive Claim

Newsletter | July 20, 2022

Co-Authored by James Longworth

 

When deciding to claim the Research & Development Tax Incentive (RDTI), there are many things to consider to ensure you are lodging a defendable RDTI claim, these include:

 
 

Tip #1 – Engage a Reputable Agent

It is strongly recommended you engage a reputable R&D Tax agent who understands your technology. This will enable you to confirm eligibility through the identification of eligible Core and Supporting activities under which eligible expenses can be linked and claimed.

It is possible for claimants to prepare and lodge their own claims without the assistance of R&D tax agent, however, due to the complexities of the program there is an increased risk that your claim could be challenged as audits may occur up to 4-5 years after receiving the benefit whereby if rejected would require the repayment of the initial benefit plus penalties and interest

 
 

Tip #2 – Maintain Proper Records

As an RDTI registration application can only be lodged up to 10 months after the completion of each financial year, maintaining contemporaneous R&D records is important for the following reasons:

• It is difficult to remember specific details of the R&D activities that was undertaken in a prior year
• Having to go back through the files and collect all the relevant documents and costs that are associated with the R&D activities makes the RDTI process onerous
• It could lead to a reduced claim as not all the R&D activities/expenditure can be backed up
• To ensure compliance in case your claim is audited

If records are maintained (and date stamped) throughout the R&D activities and placed in an R&D file, it will make the process easier when it is time to submit the application. This will make them more accurate, strengthening the validity of the R&D claim.

 
 

Tip #3 – Doublecheck your associate payments

Ensure any R&D expenditure incurred to an associate (related entity) is paid before the end of the financial year so that you drawdown the R&D benefit related to the costs as opposed to having to carry it forward in your tax return until it’s paid.

Lodge the RDTI application early. The processing time for RDTI registration applications has increased due to the increasing number of applicants and the more in-depth review processes recently implemented by AusIndustry, the prior 10 day processing period has increased to:

• 40 business days for first-time registrants
• 20 business days for registrants that have applied within 6 months after the end of the income period
• 80 business days for registrations submitted from 6 to 10 months after the end of the income period.

Remember you can’t claim your R&D Tax benefit in your tax return until AusIndustry has firstly processed and registered your project activities. Therefore, it’s important to maintain contemporaneous records, lodge the registration application as early as possible and ensure your external accountant is preparing your financial statements up to draft tax return stage whilst AusIndustry is processing the registration application. Having these measures in place will allow the tax return to be lodged on time, avoiding the need to lodge an amended tax return which will delay the receipt of the benefit

 
 

Which costs can be claimed under the RDTI?

When analysing the R&D entity’s financials, the R&D expenditure needs to be allocated into the following 9 categories in which eligible expenditure can be claimed. Please note there are many nuances to the RDTI and this is a general guide.

 

R&D expenditure – Research Service Provider

Registered Service Provider’s (RSP’s) are entities approved by Innovation Australia and are unrelated to the R&D entity. As RSP’s have appropriate scientific or technical expertise and resources, they can perform R&D on behalf of an R&D entity and are therefore the RSP expenses are eligible to be claimed under the RDTI.

 

R&D expenditure – Contract expenditure (not RSP)

Contractors (other than RSP’s) that undertake R&D activities are eligible to be claimed under the RDTI. It is important to consider the following when employing an R&D Contractor,

• Make sure the specific R&D activities they will be working on are detailed when preparing their Contract / Scope of Activities statement.
• Ask the Contractor to distinguish their time between the R&D activities and non-R&D activities on their invoices and Progress Reports.
• Detail minutes of any meetings between yourself and the contractor (this will assist in keeping contemporaneous records)
• It is also important to note that if Contractor payments are paid into a family trust, further investigation on RDTI eligibility is required.

 

R&D expenditure – Salary expenditure

Salaries and wages of employees engaged directly in conducting eligible R&D activities can be eligible under the RDTI to the extent of their R&D involvement. The relevant employees may include:

• researchers undertaking the conception and/or creation of new knowledge and products
• employees undertaking technical tasks in support of the R&D activities, such as persons keeping records, preparing charts and graphs, operating equipment, and writing computer programs
• supervisors of researchers and technical staff.

It is important to note that superannuation can contribute to the Salary Expenditure and must be paid by the 28th of July each year.

If a salary is paid via a loan account, further investigation will be required.

 

R&D expenditure – Other

This general category can be split into two types of expenditure

1. Direct; which is expenditure directly related to R&D activities such as R&D related travel, R&D materials (including overseas purchases), or hiring specific equipment that is used for R&D only etc.)
2. Overhead; these expenses are apportionable (to the extent of R&D) such as rent, internet and electricity etc.

The rate of apportionment can be determined 3 ways and the most appropriate rate will be allocated to the R&D entity.

• Cost Rate: the total R&D wages vs. total wages
• Hourly Rate: the total R&D hours vs. the total hours worked
• Floor Space: the floor area used for R&D activities vs. the total floor space

 

R&D expenditure – Feedstock input expenditure

Goods or materials that are transformed or processed during R&D activities along with the energy input directly into that transformation or processing are eligible under the RDTI,

However, if the feedstock used and transformed through R&D activities results in a tangible product that is then sold or used for internal purposes, a feedstock adjustment will be required.

 

R&D expenditure – Paid to associates in the current year

Generally, associates are entities that by reason of family, ownership or business connections, might appropriately be regarded as being associates to the claimant company. This includes wages and contracting payments to the directors or owners of the company as well as contracting fees to companies that have similar owners. Common non-arms-length transactions can include companies that may have a separate company for their intellectual property or staff that contract across R&D expenditure. Association also applies to companies that might be owned by a spouse or related family and other similar arrangements.

R&D associate expenditure must be identified and recorded in the financial year it was incurred and only claimed under the RDTI once it’s paid. This means that if the R&D associate expenditure incurred was not paid for within the financial year, it will be noted as unpaid and carried forward until payment is made, making it claimable in a future year.

 

R&D assets – Decline in value

The depreciation on registered assets used for R&D activities in the claim year are eligible under the RDTI.

R&D Prototypes need to be depreciated over their useful life.

Please note that Pooled assets aren’t eligible as the tax treatment is already favourable

It is also important to note that the assets that are treated under Simplified Depreciation rules (Instant asset write off) are not eligible under the RDTI with the exception of the Temporary Full Expensing treatment which allows assets to be fully expensed until the 30th of June 2022.

 

R&D assets – Balancing adjustment losses

The sale or disposal of a depreciable R&D asset that would normally give rise to a Section 40-285 balancing adjustment will be affected by the RDTI.

If an asset was used to conduct R&D activities, it entitles the claimant to claim the balancing adjustment deduction as a notional deduction for R&D instead of a normal deduction. Conversely, if a claimant receives a sale price greater than the adjustable value (purchase price minus depreciation) this should be reflected as an increase in assessable income to reduce the R&D benefit previously received.

 

Cooperative Research Centre contributions

Similar to RSP’s mentioned above, Cooperative Research Centre’s (CRC’s) have appropriate scientific or technical expertise and resources, but they perform R&D on behalf of multiple participants who fund the research via contributions. These contributions are eligible under the RDTI.

 

For further tips for lodging your claim,
Give us a call or schedule an assessment

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call or schedule a free assessment.

Key Dates & Reminders – Don’t Miss Out!

Newsletter | June 29, 2022

 
 

CONTENTS

1. R&D Tax Incentive
2. Export Market Development Grants
3. NSW Export Assistance Grant

 
 

R&D Tax Incentive

Applications to register 21/22 financial year R&D activities open on the 1st July

The increased rates of return are:

FY 2021-22

• Annual revenue <$20m – Company Tax Rate: 25% – Refundable Tax Benefit: 43.5% (if matched by tax losses) or 18.5% (when trading in profit)
• Annual revenue $20m-$50m – Company Tax Rate: 25% – Non-Refundable Tax Benefit/2 tier benefit: 8.5% on eligible R&D expenditure which accounts for up to 2% of total company expenses and an additional 16.5% on eligible R&D expenditure exceeding the 2% baseline.
• Annual revenue >$50m – Company Tax Rate: 30% – Non-Refundable Tax Benefit/2 tier benefit: 8.5% on eligible R&D expenditure up to 2% of total company expenses and an additional 16.5% on eligible R&D expenditure exceeding the 2% baseline.

End of Financial year R&D Tax Housekeeping tips:

• Pay your associated party R&D fees by 30th June each year – if an entity or contractor is associated in any way with the R&D entity ( i.e. shareholder, director, staff, or associated entity) their fees for R&D services must be paid for by the 30th June in the year of the R&D activity otherwise the ATO will not allow the claimant to drawdown the tax benefit when the tax return is lodged, instead, the unpaid associated party expense must be carried forward in the tax return and only realised when the expense is paid.
• Pay your R&D staff superannuation payments by the 30th June each year – to be eligible to claim the superannuation costs relating to R&D staff requires the superannuation to be paid on or before the end of the financial year. Similarly, late compulsory superannuation payments cannot be claimed in the financial year they apply but can be claimed in the following year when paid.

 
 

Export businesses note the following deadlines:

 
 

Export Market Development Grant

Round 2 Applications open 6th July,2022

Austrade have announced the opening of applications under Round 2 for a limited 6 week window ending the 17th of August, 2022.

Under the new EMDG program, eligible SMEs under $20m in annual revenue are eligible to apply and receive forward grant agreements commencing 1/7/22. The grant amounts provided in the 1st Round provide an indication of what may be offered to Round 2 applicants assuming the demand and funding remains stable:

Eligible marketing categories are:

• Overseas Representatives
  Costs associated with engaging an overseas representative to conduct market research and promotional activities
• Marketing Consultant/Agent
  Costs associated with engaging a consultant to undertake market research or marketing on a fee basis
• Short trips to a foreign country
  Expenses of up to 21 days’ continuous travel between Australia and a foreign country are eligible. Airfares, accommodation and meals
• Short trips within Australia
  Expenses of up to 21 days’ continuous travel within Australia are eligible if they relate to promoting to potential foreign buyers. Airfares, accommodation and meals
• Soliciting for business in a foreign country
  Costs related to soliciting for business in a foreign country for the eligible product e.g tradeshows, demo’s. in store promotions
• Free Samples
  Sample(s) production and freight costs
• Promotional literature and Advertising
  Costs of producing marketing material such as flyers and brochures, online and print advertising, photography, digital artwork, virtual events, social media marketing
• Overseas Buyers
  Costs of bringing an overseas buyer into Australia for marketing purposes. Airfares, accommodation and meals
• Overseas Patents and Trademarks
  The cost of international patent and trademark applications/registration/renewals

If you are promoting your products in foreign markets, give us a call.

*special note, Russia is now excluded from eligible countries.

Applications close 4:00 p.m. on the 17th August, 2022

NSW Export Assistance Grant

If you are an exporting business, or if you were exporting goods or services before the impacts of COVID-19, bushfires or drought, consider applying. Export businesses may be eligible for an export assistance grant of up to $10,000.

Eligible Activities

This grant helps eligible export businesses in NSW access global markets. Funds can be used for:

• marketing materials
• website internationalisation
• pivoting to online delivery (for example, converting face-to-face training content to online content for international audiences)
• e-commerce development
• market research
• international tradeshow and trade missions
• inbound business support
• costs to support compliance/localisation of products for export
• costs to protect business in international markets.

Available Funding

This grant will be provided as reimbursement of 50% of eligible expenses, up to a maximum of $10,000 per eligible business, for expenses already paid since 1 January 2020.

How to Apply

You can submit either one application up to the maximum of $10,000 or multiple applications of a minimum of $2,000 per each application, totaling a maximum of $10,000.

Applications close at 11:59pm on 30 June 2022 or when the allocated funding is exhausted.

Eligibility

To be eligible for this grant, you must:

• be based in NSW
• be currently exporting, or were exporting prior to the impacts of COVID-19, bushfires or drought
• employ a minimum of 3 full-time equivalent workers at the time of application
• own the goods/services to be exported, or be able to provide documented evidence that you are the agreed export supplier
• produce the goods/services to be exported in Australia, or be able to provide documented evidence that the business provides substantial value to NSW
• be an exporting business with an annual turnover of:
  • up to $100 million, or
  • greater than $100 million that can demonstrate export turnover has declined by more than 30% in the 2019–20 financial year and have an intention to re-establish your export business in your established markets and/or diversify into new markets.

Click here to find out more

 
 

TCF Services & Ryan have a strong history of assisting export businesses & delivering the R&D Tax Incentive

Give us a call to get started

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Ignite Ideas Round 9 Now Open

Newsletter | June 22, 2022

 
 

Ignite Ideas funding is available to commercialise highly innovative and new products or services that are at minimum viable product stage or beyond.

The Ignite Ideas fund is Queensland based industry support for SME businesses with high growth potential to undertake commercialisation projects that will:

• strengthen key industries in Queensland
• diversify the Queensland economy
• compete in domestic and global markets
• engage and/or benefit regional Queensland
• create new jobs, now and into the future.

For Round 9, successful recipients will be eligible for additional business development support through Advance Queensland’s new Ignite+ program.

This pilot program will provide support across sales and marketing, customer acquisition, competitor analysis, intellectual property (IP)/legal support, financial structure, connections to mentors and sponsors, and access and introductions to business and investment networks.

Funding is available in two tiers:

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Are you Eligible?

In order to be eligible for funding, your business must:

• be headquartered in QLD
• have less than 50 full-time employees
• not be a subsidiary for a larger company
• not have already receive funding for the proposed project
• be GST registered.

Tier 1 Eligibility

• Not have received an Ignite ideas Fund previously.
• Make a cash contribution to the project equal to 20% of project cost

Tier 2 Eligibility

• not previously received a tier 2 grant
• not be applying for a product or service that has previously received Ignite Ideas funding
• your business must have successfully completed a Tier 1 funded project if a tier 1 grant was applied for.
• make a cash contribution equal to the sought funding

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Expression of Interest applications will close Thursday, 7 July, 2022 at 10:00 a.m.

Ignite Ideas advise late applications will not be accepted.

 
 

TCF Services & Ryan have a history of delivering successful Ignite Ideas claims.

Give us a call to get started

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Labor Government Promises New Industry Initiatives

Newsletter |June 8, 2022

 
 

CONTENTS

1. Labour Announcements
2. Currently Open Grants
   1. Sovereign Industrial Capability Priority Grant
   2. Advanced Manufacturing Commercialisation Fund
   3. Export Market Development Grant
   4. Research & Development Tax Incentive

With every change in Government brings a new horizon whereby positive announcements are pushed out with headline promises of additional funding to drive economic change. 

The challenges we face today and the pace in which generational change is impacting our future at both a global and local level have been further impacted by multiple externalities like:

• COVID effects on supply chain/sovereign capability giving rise to an increased rate of technology adoption
• the Russia/ Ukraine conflict effects on energy supply resulting in rising costs of living 
• sovereign risks as an outcome of China’s emergence dividing the West/ East 
• as well as ongoing debate concerning collective actions required to deal with climate change in our goal to reach zero emissions. 

It’s fair to say that we will not have seen the need for such quantum change requiring major structural adjustment since the last meaningful Labor Government under Hawke/ Keating in the 1980/90’s which floated the Aussie dollar, opened the Australian economy to global competition, launched Medicare and the National Superannuation scheme in addition to  rolling out many of the industrial, environmental and social reforms which are commonly  accepted as normal practice today.  

At this stage we have seen only 2 major announcements from Labor:

 
 

1. Ed Husic appointed Minister for Industry and Science

Long-time tech and innovation advocate Ed Husic will be Australia’s new Industry Minister after he retained his portfolio in the new Labor government’s Cabinet. Mr Husic has served as Shadow Industry Minister since the start of 2021 and has advocated for the local tech and manufacturing sectors since he first entered Parliament.

Husic has already promised to review the broader innovation policy including the R&D Tax Incentives where software eligibility has been a point of conjecture for several years.  

2. $15 billion National Reconstruction Fund (NRF)

The Labor Party’s key commitment to advanced manufacturing is a $1 billion Advanced Manufacturing Fund funded under the new Government’s greater $15 billion National Reconstruction Fund. Also included is $1 billion for a Critical Technologies Fund and $1.5 billion for a Medical Manufacturing Fund.

The operating model for the NRF is the Clean Energy Finance Corporation set up under the previous Rudd/Gillard government. “It’s got an independent board, made up of smart people who will make the calls on investments,” Mr Husic said.

As we all know the devil will be in the detail so watch this space as we attempt to report on the details as and when they are released. Suffice to say that most existing Liberal funding programs will be reviewed, altered or replaced. 

 
 

The following grants are still open:

 

Sovereign Industrial Capability Priority Grant  (Defence)

A grant of $50,000 to $1 million for up to 50% of the cost of a project that builds capabilities aligned with Defence’s Sovereign Industrial Capability Priorities. The maximum grant period is 30 months.

A grant of $50,000 to $1 million for up to 50% of the cost of a project.

Grant funding is capped at $3 million in a 3-year period per recipient.

This program opened in late April and will remain open until funds are exhausted.  

 
 

Advanced Manufacturing Commercialisation Fund

The Advanced Manufacturing Commercialisation Fund provides small to medium manufacturing enterprises with matched funding to commercialise new products and processes.

Funding is available for small to medium manufacturing enterprises undertaking projects that align with one or more of the 6 National Manufacturing Priorities:

• food and beverage
• medical products
• resources technology and critical minerals processing
• recycling and clean energy
• defence
• space

Closing Date: 30 Jun 2022
Matched funding of between $100,000 and $1 million.

 
 

Export Market Development Grants

Austrade’s Export Market Development Grants (EMDG) program helps Australian businesses grow their exports in international markets. These grants encourage small to medium enterprises to market and promote their goods and services globally.
Grants of up to 50% of eligible marketing expenses are claimable up to the level of the funding cap of $157m per annum.

Round 2 applications will open soon after the Labor Government considers additional funding for the program due to the higher than expected Round 1 participation reducing  the benefit by up to 80%.  

 
 

R&D Tax Incentive

The Research and Development Tax Incentive (R&D Tax Incentive or R&DTI) provides tax offsets to incentivize local companies to undertake R&D. The financial risk associated with the technical or scientific risk required to develop new products, processes and services is claimable and the benefit is delivered in cash at a rate of 43.5% for start-up companies under $20m in annual revenue. 

Applications open on the 1st July for companies with a standard financial year wishing to claim their FY 2021-22 activities as per the following rates of return: 

• Annual revenue <$20m – Company Tax Rate: 25% – Refundable Tax Benefit: 43.5% (if matched by tax losses) or 18.5% (when trading in profit)
• Annual revenue $20m-$50m – Company Tax Rate: 25% – Non-Refundable Tax Benefit/2 tier benefit: 8.5% on eligible R&D expenditure which accounts for up to 2% of total company expenses and an additional 16.5% on eligible R&D expenditure exceeding the 2% baseline.
• Annual revenue >$50m – Company Tax Rate: 30% – Non-Refundable Tax Benefit/2 tier benefit: 8.5% on eligible R&D expenditure up to 2% of total company expenses and an additional 16.5% on eligible R&D expenditure exceeding the 2% baseline.

 
 

– Labor Government Promises New Industry Initiatives –

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Changes to the 2022 Research & Development Tax Incentive Schedule

Newsletter | June 8, 2022

By Shak Akhter – Senior Business Manager, Ryan Tax Services

 

Here’s what you need to know:

The ATO has recently released its Research and Development Tax Incentive Schedule (NAT 73794) for the 2022 financial year. Legislative changes introduced in the October 2020 budget have seen the introduction of changes in the way R&D entities calculate and report their R&D tax offset expenses to the ATO for the YE 30 June 2022 compared to prior years.

Consequently, this has also resulted in some changes in R&D entity’s tax return. Changes to the R&D tax schedule apply for income years commencing on or after 1 July 2021; therefore for early balancing entities with an early balancing substituted accounting period, the new R&D tax schedule applies from 1 January 2022.

Specific label changes in the new ATO’s Research and Development Tax Incentive Schedule 2022 include additional reporting for:

 

Part B – Clawback Amounts

• R&D recoupment (item 7) – total amount of all R&D recoupment amounts that relate to expenditure for which the R&D entity has claimed notional deductions under the R&D Tax Incentive,
• Assessable balancing adjustment (Item 8) – Balancing adjustment events occur when the R&D entity stops holding a depreciating asset used in R&D activities, for example, when the entity sells the asset for which the termination value may be the sales proceeds of the R&D asset,
• Total clawback (Item 9) – Additional assessable income resulting from all clawback adjustments, including Feedstock adjustment amount, R&D recoupment amount, and Assessable balancing adjustment amount,
• Deductible balancing adjustments (Item 10) – when the termination value of the R&D asset at that time was less than the asset’s adjustable value,

 

Part E – R&D Tax Offset Calculation

• Disclosure of the company tax rate (R) and
• R&D intensity calculations (A) that take into account the total R&D expenses for the entity.

 

Instructions on how to complete the 2022 R&D Tax schedule are available online. We hope that the ATO releases numerical examples and additional guidance pertaining to the calculation of R&D recoupment amount, assessable and deductable balancing adjustments, and clawbacks under these amendments. Communication and guidance from the ATO will enable R&D entities to appropriately categorize and calculate eligible R&D expenditure and reduce any potential for compliance audits.

If you would like to discuss how Ryan can help you with the R&D Tax Incentive and minimize your tax compliance burden, then get in touch with us today.

 
 

– 2022 R&D Tax Incentive Schedule Changes –

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Export Market Development Grants 2022

Newsletter | May 25, 2022

 
 

Austrade have just announced that the 2nd Round for making applications under the new the Export Market Development Grants (EMDG) program will soon open for a limited time.

• Opening Soon: Announcement from Austrade Imminent, watch this space

 

Under the new EMDG program, eligible SMEs are able to apply for forward grant funding over multiple years to cover eligible marketing and promotional activities.
The eligible marketing categories are:

1. Overseas Representatives
2. Marketing Consultant/Agent
3. Short trips to a foreign country
4. Short trips within Australia
5. Soliciting for business in a foreign country
6. Free Samples
7. Promotional literature and Advertising
8. Overseas Buyers
9. Overseas Patents and Trademarks

 

The new EMDG program provides 3 Tiers of grants:

• Tier 1 – first time exporter
• Tier 2 – existing exporter / existing product(s)
• Tier 3 – existing exporter undertaking a major strategic shift  – new products/ new markets 

 
 

How much can you receive?

The likely grant amounts for Round 2 will be determined once applications are closed and assessed. As the annual program funding is capped at approximately $150m the grant amount will be divided equally by the number of eligible applicants within each tier.

The grant amounts in the first round FY 2021-22 may give some guidance, assuming the application demand and funding remains stable:

• Tier 1 – up to $15,000 per financial year
• Tier 2 – up to $24,600 per financial year
• Tier 3 – up to $36,600 per financial year
• Representative bodies – up to $90,000 per financial year

 
 

Once applications are assessed eligible exporters will be offered a forward grant agreement – Tier 1 applicants will receive a 2 year agreement and Tier 2 and 3 applicants a 3 year agreement. The grant is designed to cover 50% of eligible export marketing expenses paid for from the 1st July 2022 to either the 30/6/24 for Tier 1 applicants OR up to 30/6/25 for Tier 2 and 3 applicants.

 
 

Please note: Eligible exporters are only eligible to claim EMDG grants for a maximum of 8 years so any claim history under the prior program from 1992 will be included in assessing eligibility – this includes picking up any claim history from a prior entity operated by the same owners undertaking the same type of business activities. 

 
 

Further information can be found on the Frequently Asked Questions and you can download the Guidelines at EMDG Grants Guidelines and legislation.

 
 

– Export Market Development Grants Second Round 2022 –

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Australian Defence Industry Grants

Newsletter | May 10, 2022

 
 

With consideration to rising tensions both globally and in the Pacific, this week we provide the latest update on the new and returning Australian Defence Industry Grants.

Given this sector is highly specialised we suggest that interested parties firstly contact the Office of Defence Industry Support (ODIS) to receive free services and advice from a ODIS Case Manager regarding your potential entry strategy into this sector. 

https://business.gov.au/odis/build-your-business-in-defence

https://www.defence.gov.au/business-industry/finding-opportunities/office-defence-industry-support

 

CONTENTS

1. Sovereign Industrial Capability Priority Grants
2. Defence Global Competitiveness Grants
3. Skilling Australia’s Defence Industry Grants

 

Sovereign Industrial Capability Priority Grants

Funding for Australian businesses to build industrial capabilities that fit with Defence’s Sovereign Industrial Capability Priorities.

Project activities can include:

• buying, leasing, constructing, installing or commissioning of capital equipment including specialist software to enhance cyber security

As they relate to the above activities, this can also include:

• design, engineering and commissioning activities
• workforce training and accreditations.

 

What do you get?

A grant of $50,000 to $1 million for up to 50% of the cost of a project that builds capabilities aligned with Defence’s Sovereign Industrial Capability Priorities. The maximum grant period is 30 months.

Grant funding is capped at $3 million in a 3-year period per recipient.

 

Who is it for?

Small to medium sized businesses with an Australian business number (ABN). The business must be a company incorporated in Australia or and incorporated trustee on behalf of a trust.

Minimum Required Contribution: 50%

For more information, click here

 
 

Defence Global Competitiveness Grants

–This grant is currently in caretaker mode, applications can still be submitted, but decisions will not be made until after the 2022 election outcome is announced. —

 
Grants to help Australian businesses invest in projects that build their defence export capability.

Project activities can include:

• buying, leasing, constructing, installing or commissioning of capital equipment including specialist software to enhance cyber security
• design, engineering and commissioning activities
• workforce training and accreditations

 

What do you get?

A grant of $24,000 to $240,000 for up to 80% of the cost of investing in projects that build export capability to build a stronger, more sustainable and globally competitive Australian defence industry. The maximum grant period is 18 months.

 

Who is it for?

Small to medium sized businesses (Less than 200 employees) with an Australian business number (ABN). The business must be a company incorporated in Australia or and incorporated trustee on behalf of a trust.

Minimum required contribution: 20%

For more information, click here

 
 

Skilling Australia’s Defence Industry Grants

–This grant is currently in caretaker mode, applications can still be submitted, but decisions will not be made until after the 2022 election outcome is announced. —

 
Skilling Australia’s Defence Industry Grants provide businesses servicing the defence sector with upskilling and training opportunities to build skills capacity and capability to meet current or future Defence needs. The grant was updated on the 4th of April, 2022 to include an additional $20.3m in funding until March 2026. 

The Skilling Australia’s Defence Industry Grants Program will provide grants to businesses over three years to help develop defence sector skills and human resources practices and training plans.

The program aims to:

• reduce barriers faced by Small and Medium Enterprises (SMEs) in the defence sector when upskilling or retraining staff
• develop skills within SMEs in the defence sector
• support SMEs in the defence sector to establish human resources practices and training plans that will build lifelong learning activities into their business

 

What do you get?

A grant between $5,000 and $500,000 to undertake various defence skills training activities.

You may apply for multiple grants or group multiple eligible activities into one application.

The funding is capped at $500,000 in a six-year period from 2020–21 to 2025–26 for:

• each eligible business; and
• each industry association which is applying for funding to train their own staff.

 

Who is it for? 

• Small and Medium Enterprises (SMEs) that currently have a Defence contract, are tendering for one, are a subcontractor to a defence prime or contracted through the Prime’s supply chain to deliver on defence projects.
• Defence Industry Associations training their own staff or facilitating training to businesses they are representing.
• Defence Industry Associations applying for funding for eligible activities for the eligible businesses they are representing.

Minimum required contribution: 20%

For more information, click here

 
 

– Ryan can assist with Australian Defence Industry Grants –

 
 

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.

Four new Federal & NSW based grants now available

Advanced Manufacturing Commercialisation Fund | Advancing Renewables Program
Going Global Export Program | Jobs Plus Program

 

Listed below are four grants currently available for Federal and NSW based businesses. These grants are in line with the 6 national priority sectors previously announced by Government, including commercialising manufacturing, advanced renewable technology, going global export, and job creation.

Index

1. Advanced Manufacturing Commercialisation Fund
2. Advancing Renewables Program
3. Going Global Export Program
4. Jobs Plus Program

 

Advanced Manufacturing Commercialisation Fund – AMGC – National

The Advanced Manufacturing Commercialisation Fund provides small to medium manufacturing enterprises with matched funding to commercialise new products and processes. Matched funding of between $100,000 and $1 million.

Applications close on 30 June 2022 or when funds are fully allocated.

The funding will soon be fully allocated, so you are encouraged to complete your application and submit it as soon as possible. This means funding will be allocated to where applications show:

• Significant job creation
• Manufacturing of innovative products in Australia
• Globally competitive products with export potential
• Sound business models with good value propositions
• Suitable finance arrangement to fund your portion of the project costs.

Funding is available for small-to-medium manufacturing enterprises undertaking projects that align with one or more of the six National Manufacturing Priorities:

• Food and Beverage
• Medical Products
• Resources Technology and Critical Minerals Processing
• Recycling and Clean Energy
• Defence
• Space

The grant will cover up to 50% of eligible project costs.

 

Advancing Renewables Program – ARENA – National

Expressions of Interest are continually open for the Advancing Renewables Program. Matched funding of between $100,000 and $50 million is available.

The program provides businesses with funding or finance to develop renewable energy technologies.

It aims to fund projects that contribute to one or more of the following outcomes:

• Reduction in the cost of renewable energy
• Increase in the value delivered by renewable energy
• Improvement in technology readiness and commercial readiness of renewable energy
• Reduction in or removal of barriers to renewable energy uptake
• Increase in skills, capacity, and knowledge relevant to renewable energy.

 

Going Global Export Program – NSW only

The 2021-22 NSW Going Global Export Program supports eligible NSW businesses to reach new customers in new international markets. It supports businesses in the following sectors:

• Food and Beverage, Agri-Food, Processed Food
• Health and Medtech
• Technology

The program provides export coaching, tailored workshops and business matching with international customers. It is suitable for those that are seeking global sales for the first time, as well as those currently exporting and looking to diversify into new markets. It offers participants:

• an understanding of market dynamics
• practical approaches for doing business in the target market
• opportunities to identify and engage with new customers in the target market
• opportunities for networking with global businesses and entrepreneurs
• opportunities for global promotion
• opportunities for peer interaction with the businesses in your cohort

The 2–6 month intensive engagement program has been developed to give businesses a richer understanding of preferred high growth export markets, tailored for specific industry-sectors

 

Jobs Plus Program – NSW only

The Jobs Plus Program is open until 30 June 2022 and new staff hires must start before 31 December 2022.

The program supports Australian and international businesses to start or expand their operations in NSW. Support is available to help reduce the costs and financial risks of growing a business or moving its operations to NSW.

To be eligible for the program, Australian businesses must currently employ at least 20 workers and overseas businesses must employ at least 80 workers.

Proponents seeking assistance through the program will be eligible for a variety of support levers based on the number of jobs created, including:

• Jobs Plus Concierge Service
• Payroll tax relief for up to 4 years for every new job created where a business has created at least 30 net new jobs
• Subsidised training package rebates
• Enabling infrastructure rebates
• Access to subsidised, short-term government accommodation and spaces
• Assistance with the NSW planning approvals.

All businesses must be able to create at least 30 net new full-time equivalent (FTE) jobs in NSW before 30 June 2024. Further conditions apply.

 
 

– Are these four new federal and NSW based grants relevant for your business? –

Contact TCF today for a consultation

Services
Ryan can assist with services such as:

• Scope your potential to claim various grant programs
• Assist with the preparation and lodgement of grant applications
• Review or provide a health check on your internally prepared grant applications
• Establish record-keeping practices as required under various grant programs
• Provide prepayment loans against future cash refunds under the R&D Tax Incentive
• Keeping industry informed on all new Government policy and grant initiatives

Don’t hesitate to give us a call.