Smaller accounting firms are missing out on R&D revenue
Promoted by PwC's Nifty R&D:
The Research and Development (R&D) Tax Incentive has been in place in various forms over the past 29 years, yet it still retains a level of complexity that means many Accounting firms don’t provide it as a service to their clients. A new Affiliate program launched by PwC through its online service, Nifty R&D, is set to change this by offering a complete R&D service for small to medium-sized accounting firms.
About 7,000 small businesses currently apply for the R&D Tax Incentive while over 20,000 are most likely eligible based on their innovative and R&D activities. The government program provides up to a 45% refund of monies spent by businesses that create new things or improve old ones. The program aims to increase the competitiveness of businesses, and to improve productivity by incentivising them to undertake innovation and R&D that result in economy-wide benefits to Australia.
Nifty R&D is an online service provided by PwC that allows a small to medium sized business to process its R&D tax return in under an hour. By simplifying the questions being asked and providing a series of automations (including Xero integration for example), users can complete a return in one day. This brings them weeks closer to their cash benefit when compared with traditional face-to-face offerings.
PwC’s experience in the market has shown that a number of small to medium-sized Accounting companies, advisers and specialist R&D providers would benefit from being part of the Nifty R&D Affiliate Program. Nifty R&D provides a simple online form for completion, and a wealth of training and knowledge at hand, as well as the peace of mind provided by a review by a PwC specialist. This enables many businesses to provide an R&D service even if they do not want to take on the R&D headcount, risks and processes needed to support clients. Through a revenue share agreement, this prevents monies walking out the door to a third party.
PwC are now offering a series of 90-minute seminars to help educate Accounting companies on the R&D tax program and how Nifty R&D can support their businesses. With the April deadline for FY14 returns fast approaching, there has never been a better time to start offering the R&D Tax Incentive in your suite of services.