archTIS Ltd welcomes its rebate payment of A$1.785 million from the Australian Taxation Office (ATO) relating to the company’s refundable tax offset claim for the fiscal year ending June 30, 2022.
“The R&D tax rebate is an important component of our overall corporate finance strategy,” archTIS global COO Kurt Mueffelmann said.
“It provides working capital that allows archTIS the ability to invest in our product innovation while providing non-dilutive funding that supports our overall projected minimum 50% reduction in cash burn from the prior year.
“The funds are included in archTIS’ stated outlook of A$9.5 million cash receipts for FY23 which support the move toward the objective of becoming cash flow positive in calendar 2023.”
Growth opportunities
This payment provides archTIS with additional non-dilutive working capital to support ongoing research and development to extend its product platforms and capabilities for growth opportunities.
The R&D incentive program is part of the Australian Government’s commitment to developing sovereign capability to help Australian businesses grow and innovate.
This tax incentive offers companies with under A$20 million per year in revenue a 43.5% refundable tax offset for eligible research and development expenditures.
Given the ever-increasing global demand requirements around cyber security and the need to secure sensitive information across an organisation, archTIS welcomes the opportunity to grow its core products, Kojensi and NC Protect, to deliver secure information sharing and inter-organisational collaboration – anywhere and on any platform.