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Technology

Cloud infrastructure - R&D Tax Benchmark

What proportion of total business expenses do Australian cloud infrastructure typically claim as R&D under the RDTI?

Typical range
20–55%
Direct (core) R&D as % of expenses
Elevated but plausible
up to 75%
Still defensible with strong evidence
Unusual - review carefully
> 88%
May still be valid; expect AusIndustry scrutiny
Supporting R&D
5–15%
Indirect / supporting activities

What drives R&D intensity in this sector

Custom orchestration, scheduling and networking R&D qualifies; capacity operations and customer support do not.

Sector disclaimer

Platform companies sit in line with SaaS. Compute resale margin and account ops are not R&D.

ATO & AusIndustry context

Provisioning infrastructure for paying customers is operational, not experimental.

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Educational benchmark only - not an eligibility test or tax advice. Final eligibility depends on whether your activities meet the s.355-25 / s.355-30 core and supporting R&D definitions and is determined by AusIndustry on registration.