TaxTrex
TaxTrex

Australia ranks 22nd in global innovation

An analysis by the Information Technology and Innovation Foundation (ITIF) has concluded that Australia ranks 22nd out of 56 countries in how its domestic policies support worldwide innovation.

Australia Ranks 22nd in Global Innovation

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The authors examined 14 factors that not only support innovation domestically but have positive spillover effects globally, such as supportive tax systems and investment in R&D and human capital, and another 13 factors that have negative spillover effects, such as forced localisation and weak intellectual property protection.

The ITIF said that Australia’s ranking reflected a combination of policies that the report found to be 23rd best in their positive contribution to the global innovation ecosystem and also the 21st least damaging.

The global technology think tank assessed 90 per cent of the world’s economy and the extent to which on a per-capita basis, their economic and trade policies contribute to and detract from innovation globally. Finland Came in first place.

The G-20 countries that ranked above Australia included Japan, the US, France and Germany and the G-20 countries that ranked below Australia were Italy, Mexico, India, Argentina, Indonesia, Turkey, China, South Africa, Russia, Brazil and Canada.

R&D Tax Incentive

The R&D Tax Incentive is a government program that aims to encourage Innovation within Australia, resulting in boosting competitiveness and improving productivity. It provides:

  • a 45% refundable tax offset for certain eligible entities whose aggregated turnover is less than $20 million
  • a 40% non-refundable tax offset for all other eligible entities.

Am I eligible?

Check your eligibility here

How can we help with the claim process?

TaxTrex is based on academic research conducted by Swanson Reed and works by issuing three surveys at regular intervals during the year to collect, interpret and store relevant claim documentation and information.

Relevant information necessary for the R&D claim will be:

  • extracted,
  • time-stamped; and
  • securely stored.

The information gathered through the surveys will assist in substantiating the scientific process and purpose of conducted activities.

The reports generated from the surveys will be useful in defending a claim in the event of an audit.