Federal Budget - Medical Patent Box Tax Concessions

From 1 July 2022 the government has put in place a Medical Patent Box inviting medical and biotech companies to register approved Patents for products researched and developed in Australia, in return offering a reduction in the tax concession rate, down to 17c in the dollar, a 45% reduction in taxation for income generated by respective innovations. Subject to sales, this will generate an income windfall for companies like OCC. The Government in return aims to generate innovation and productivity in the sector aimed at generating jobs and retaining intellectual property inside Australia, recognizing that the health sector in combination with innovations like the application of artificial intelligence could enable Australia to lead the world in areas of health innovation.

All positive for OCC.

This is not a share recommendation. DYOR.