ResApp receives $1.785m R&D Tax Incentive rebate

Latest News

Digital health company ResApp Health (ASX:RAP) has announced it has received $1.785 million from its R&D tax incentive claim for the financial year ending 30 June 2018.

The company is developing smartphone applications for the diagnosis and management of respiratory disease.

The biotechnology and life sciences sector remains concerned over the fate of the R&D Tax Incentive program that provides a cash refund on eligible activities.

The government has proposed a range of reforms to the popular program that are budgeted to reduce federal support to R&D activity by around $2.4 billion.

The proposed reforms include a cut in the benefit provided under the program, with a limited exemption for investment in clinical trials, and the introduction of a new 'intensity' test.

According to ResApp CEO and managing director, Tony Keating, “We are very grateful for the Australian Federal Government’s commitment to support research and development by Australian companies. The receipt of this refund, and the previously received Advanced Overseas Finding for our planned US clinical activities, puts us in a very strong financial position as we begin to launch our innovative digital health products into global markets.”