Department of Science and Technology-R&D Tax Incentive

Organisation: Department of Science and Technology – R&D Tax Incentive

Name of Exhibition: R&D Tax Incentive

Exhibition Summary:

The Research and Development (R&D) Tax Incentive is aimed to encourage private sector investment in scientific and technological R&D in South Africa in terms of section 11D of the Income Tax Act, 1962 (Act No. 58 of 1962). The incentive allows companies undertaking R&D in the country to deduct 150% of R&D expenditure when determining taxable income. For a company with a corporate tax rate of 28%, the incentive translates into 14 cents per Rand spent on R&D. The incentive can be accessed by companies of all sizes and in all sectors of the economy. This forms part of the policy package to promote R&D and innovation in the country.


Dr Nangula Mavhungu
Tel/Mobile: 012-843 6521 / 076-510 0971