In order to qualify for the R&D Tax Incentive, you need to apply to the Department of Science and Technology, before you start the R&D project. The R&D Tax Allowance is open to businesses of any size, in any sector of the economy. You have to be a registered taxpayer with SARS. The R&D activities must be conducted here in South Africa. Once approved you receive an application number.

To claim the tax deduction, you simply submit your next SARS assessment as normal. You include the expenses for the approved project and the application reference number from DST.

How to qualify for the SA R&D Tax Incentive?