Govt looks to soften tax treatment of so-called black hole R and D spending

Wed, 06 Nov 2013

Nov. 7 (BusinessDesk) – Current tax treatments on capitalised expenditure for research and development are creating a tax deductibility “black hole” which is likely to be discouraging firms from investing and innovating. To combat that and to answer critics who believe R&D tax incentives would improve the country’s poor record of investment in new knowledge and processes, Science and Innovation Minister Steven Joyce and Revenue Minister Todd McClay are seeking feedback on ways to fix the problem. Fixes in three main recommendations are propo...

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