Application process
To apply for the R&D Tax Incentive, a company can use the folowing link for online application:
http://taxincentive.dst.gov.za
Companies can also use the RD2 Application form and submit to the DSI via the following email: rndapplications@dst.gov.za. Note that only the R&D expenditure incurred on or after the date of receipt of the application by the DSI will be eligible for the deduction.Also note that a valid application will have all the compulsory fields completed. Incomplete applications will not be accepted.
Company submits application
- The company submits an application form to the DSI.
- The DSI acknowledges receipt of application.
- The application is assessed.
Adjudication
- The assessment report and application form are presented to the Committee for adjudication.
- The Committee makes a recommendation to the Minister of Science and Technology.
Decision
- The Minister's decision letter on whether the R&D activities have been approved or not is sent to the company.
- This letter serves as proof to SARS that the company's R&D activities have been approved when claiming the tax deduction.
Progress reporting
- A company whose R&D activities have been approved must submit annual progress reports to the DSI, coinciding with their financial year-end tax reporting.
- The company should keep records that support tax expenditure claims and progress with R&D.