Tax Credits for R & D
In April 2019 new legislation introduced the R&D Tax Incentive Scheme to encourage research and development spending by businesses in New Zealand. The Scheme allows qualifying businesses to claim a 15% tax credit from the Inland Revenue Department on eligible research and development costs.
NZIMMR is an IRD approved research provider under the Scheme. This means the usual $50,000 minimum annual R&D expenditure requirement does not apply.
NZIMMR is unable to give advice on eligibility for the tax credit. Anyone who is interested in claiming the tax credit should receive early advice from their accountant or tax advisor. If a NZIMMR client intends to apply for a tax credit NZIMMR can work with the client’s accountant to ensure the contract, reports and invoices provided by NZIMMR support the client’s application.
Further information on eligibility can be found on the IRD websites.