On 19 April 2018, the Minister for Research, Science and Innovation announced the proposed implementation of a Research and Development tax incentive for New Zealand. The Growth Grant will be phased out over time with the introduction of the Tax Incentive, but will continue as normal until final decisions are made by the Government. It is being phased out because the Growth Grant and Tax Incentive fund similar types of activity and have a similar purpose.
The details of the Tax Incentive and proposed transition arrangements for Growth Grant customers are subject to public consultation until 1 June 2018 and details of the consultation can be found on the MBIE website (address below). We advise you to review both the discussion document on the research and development tax incentive, and the transitional approach consultation document, and consider providing feedback by way of a submission before 1 June 2018.