R&D and Government Incentives
Many countries offer generous grants, credits and incentives in areas such as the digital economy, energy efficiency, environment, globalization, innovation, sustainability and training. More than 30 countries also offer specific research and development (R&D) tax incentives that apply to development activities related to manufacturing process improvements, production trials and software integration issues in addition to laboratory research. Taking advantage of incentives creates an immediate cash benefit, often reducing effective tax rates and increasing EPS.
Our services include:
- Analysis of available grants and incentives – strategic plan of optimum application
- Research & development claims preparation
- Government incentives application support
- Tax controversy related to R&D or government incentives
- After-care services
- State aid related advisory
- Services for institutions providing subsidy (Public sector)
Analysis of available grants and incentives – strategic plan of optimum application
In order to provide Clients with clear advise on choice of available cash grants or specific tax incentives, chances to receive it and benefits to be expected, a detailed analysis of the planned activities needs to be performed. The outcome of service are recommendations on the scenarios guaranteeing the highest chances for success and amount of financial benefit.
Services might cover in particular:
- Identification of grants and incentives available and most suitable for Client’s priorities;
- Analysis of eligibility of entity and planned activities face to specific conditions of the support schemes;
- Calculation of the financial support;
- Action plan of optimization steps to increase chances to receive funding;
- Identification of potential risks together with recommended mitigation solutions.
Research & Development claims preparation
Identifying eligible R&D activities and preparing robust supporting documentation is often unfamiliar territory or you may not have the resources to complete the paperwork required to file a claim. Deloitte can assist with the whole process from scoping through document preparation and submission. Deloitte combines deep tax technical expertise with highly experienced scientists and engineers to help ensure all aspects of an incentive claim are fully understood and considered. We utilize technology based solutions worldwide to ensure a smooth process with increased transparency and compliance with all regulatory changes. In the Czech Republic, our expertise in field of R&D incentives has been confirmed by the certification of Ministry of Justice. Thanks to knowledge and experience within R&D and Government Incentives global network, we are able to advise on most beneficial cross-border structure of R&D activities location and organisation.
Services might cover in particular:
- Review of documentation and costs prepared for tax claims
- Identification of research and development activities compliant with tax legislation and preparation of R&D projects eligible to apply a tax deductible
- Preparation of an internal guideline for reporting research and development costs
- Expert assessment relating to the compliance of research and development project activities and legislation requirements (based on Ministry of Justice certification)
- Analysis of opportunities of cross-border optimization of R&D costs versus potential savings
Assistance in preparation of applications for grants and incentives
Ensuring that you benefit from available grants and incentives to maximum extend requires time and effort. The Deloitte team is highly experienced in the practicalities of preparing, negotiating and agreeing such applications including all aspects from initial feasibility reviews to document submission. Deloitte’s knowledge in this specialized area ensures that we understand and evaluate all the nuances and details of specific opportunities and allows you to be confident you have realized your potential benefits for the least amount of time, effort and expense. Based on our broad experience in administration of successful projects we structure application in a way allowing further correct and flexible realization.
Services might cover in particular:
- Preparation of detailed project concept maximizing chances of success
- Elaboration of full application for support
- Preparation of necessary appendices or assistance in their preparation
- Review of formal correctness of application
- Monitoring of assessment process and assistance in signing contract with grant/ incentive provider
Tax controversy related to R&D or government incentives
R&D claims as well as EU and Government Incentive applications often receive intense regulatory scrutiny. Deloitte provides assistance in audit resolution as well as support related to claims and information requests or objections from relevant government bodies. This team includes former officials with various regulatory agencies who have an in depth understanding of the regulatory processes for approval. Deloitte delivers an inside out perspective and you can be confident you are receiving sound advice.
After-care services
Deloitte has broad experience in advisory services related to the administration of a project that received a grant on the basis of the submitted and evaluated grant application or complex review of compliance in regulations applicable in case of investment incentives. We offer you unrivalled flexibility in structuring the scope of our services and methods of cooperation – from ad hoc review of project documentation, through in-depth scrutiny of compliance with applicable regulations, to full outsourcing of administration process.
State aid related advisory
Almost any support awarded to a private entity from public sources, either in form of grants or tax incentives, constitute State aid, strictly regulated by European Union laws and policies. Deloitte experts, taking benefit from broad experience and international network, offer services in preparation of analysis and opinions concerning State aid as well as support to clients facing State aid related procedures (notification, preparation of large project, private investor tests) on ad hoc basis.
Services for institutions providing subsidy (Public sector
R&D and Government Incentives Team is a substantial provider of services to institutions involved in distribution of support in various programs. Over the past few years, Deloitte has realized for the public sector dozens of projects, particularly in areas of strategic studies and evaluations.
Services might cover in particular:
- Analysis of strategic documents and legislation at national and European level
- Consultancy on setting regional, national and operational programs (including executive documentation and detailed methodologies)
- Preparation and consultancy of subsidy programs
- Evaluation of programs, projects and processes for the provision of subsidy
- Preparation of system and national projects for public sector
- Technical assistance within the Operational Programs (assistance in implementation and administration of programs, ad-hoc methodology, analysis, studies)
- Elaboration of municipality and regional development plans