Consultation
R&D Tax Incentive: quarterly credits
Name
Mr Donald Charles Easter
Organisation
IT Advocate with DIISRTE
Email
deaster@iinet.net.au
Are you submitting on behalf of your Company
No
Do you want your submission to be confidential
No
Accessibility Statement
Submission files
Support files
Submission text
Yes it is important for SMEs to have access to quarterly R&D tax credits. 

Small Businesses, especially those undergoing growth, struggle with cash flow. 

By it's very nature that their product or service is undergoing R&D means it is not yet ready for sale to the market. Hence their expenditure is before their income opportunity. Combined with other expenses such as hiring staff or buying stock, there is a negative impact on their their cash from operations. 

SMEs are unlikely to have a source of cash from investment income and often, during the stages of growth, rely on cash from financing - injections of cash from investors. 

So, providing quartery tax credits is a definite advantage for SMEs in terms of all important cash flow management.