R&D & Investment incentives

We provide comprehensive services to our Clients during all phases of the process, including the preparatory, the application, the negotiation, the contracting as well as the monitoring phases. This includes - amongst others – the following services:

• identifying opportunities to maximize the volume of cash grant that can be awarded;
• identifying any potential risks or difficulties that may arise and should be considered before the application;
• detailed investigation of the eligible costs;
• develop negotiation strategy in order to maximize the volume of the cash grant to be received, including providing assistance in relation to the commitments to be undertaken by the Client;
• represent/support the Client during the negotiations with the Hungarian Investment Promotion Agency (‘HIPA’) and the Hungarian Government;
• preparation and submission of the application form;
• support the Client in the approval process;
• provide support in the process of obtaining the necessary EU approval on the subsidy under investigation (if relevant);
• support the Client during the so called ’Site Visit’ including preparation, collection and review of all the documents needed (e.g. business plans, SWOT analysis, guarantees, etc.), review of the site visit protocol, etc.;
• review the draft subsidy contract and make appropriate recommendations if necessary;
• provide compliance services during the implementation phase of the project (such as review of costs from eligibility perspective, preparation and/or review and submission of the documentation packages to the relevant governmental body, etc.);
• finally, in close cooperation with other departments of KPMG we can provide support to our Clients in all other aspects of the investment project, including, but not limited to the site selection process, the preparation of feasibility studies or business plans or either the application for the VIP status that might accelerate the process of obtaining any permissions required for the investment project.

We provide comprehensive services to our Clients during all phases of the process, including the preparatory, the application, the implementation as well as the monitoring phases. This includes - amongst others – the following services:

• Summarizing the key requirements to be fulfilled by the Client, including all substantive conditions and administrative obligations;
• Perform a detailed investigation whether the Client may be eligible for the development tax credit;
• highlighting those areas which – based on our experience gained during tax authority audits – may on one hand raise significant uncertainties/tax risks or on the other hand opportunities at the taxpayers;
• detailed investigation of the eligible costs, the present value of the investment project as well as the tax credit;
• preparation and submission of the application/notification form on the planned investment project.
• provide support in process of obtaining the necessary approval of the Ministry of Finance and the EU on the subsidy under investigation (if relevant);
• provide support in relation to the enforcement of the tax credit as well as the fulfillment of the relating administrative obligations (such as preparation/review of the corporate tax return and the records of the Client on the investment project).

We provide – amongst others – the following services to our Clients in relation to tax credit relating to investments or refurbishments aiming to increase energy efficiency:

• summarizing the key requirements to be fulfilled by the Client, including all substantive conditions and administrative obligations;
• perform a detailed investigation whether the investment project to be carried out by the Client may be eligible for the tax credit;
• highlighting those areas which – based on our experience gained tax authority audits – may on one hand raise significant uncertainties/tax risks or on the other hand opportunities at the taxpayers;
• close cooperation with the energy auditor in order to review and maximize the volume of the eligible costs;
• review of the certificates issued by the energy auditor from a tax point of view;
• provide support in relation to the enforcement of the tax credit as well as the fulfillment of the relating administrative obligations (such as preparation/review of the corporate tax return and the records of the Client on the investment project).

In terms of R&D related incentives, our end-to-end services cover – beyond the above mentioned VIP cash grant and the Development tax credit related services –, the following areas as well:

R&D qualification services

• thorough investigation whether the projects/activities in question may qualify as R&D according to the Hungarian legislation and international guidelines and as such, may entitle the Client to benefit from the R&D related incentives (cash grant and tax credits);
• provide assistance in the preparation of the R&D qualification request(s) to be submitted to the National Research, Development and Innovation Office (’R&D Office’);
• represent the Client on meetings with the R&D Office.

Compliance services

• thorough analysis of the eligible costs of the R&D activities and review of the related supporting documents, analytics, calculations and tax returns

We provide comprehensive services to our Clients during all phases of the process, including the preparatory, the application, the negotiation, the implementation as well as the monitoring phases. This includes - amongst others – the following services:

• estimate the maximum level of the potentially available training subsidy;
• outline the key conditions of the subsidy;
• preparation and submission of the required application form;
• support the Client in the approval process;
• compliance services (such as the review of costs from eligibility perspective).