Documentation required for issue of a tax exemption certificate for R&D expenses

Documentation required for issue of a tax exemption certificate for R&D expenses

A tax exemption certificate will be issued upon presentation of the following documentation by the company’s legal representative, in both hard copy and electronic form:

• A Submission Form, describing the physical and financial scope of the project, duly completed in respect of each research project, for year 2017.

As regards the Physical Scope in particular, it is noted that the Submission Form must essentially include the following: A thorough technical description (general description of the Physical Scope / overall project progress, Work Sections for 2017, Project Team, Work Methodology, Equipment used and other related expenditures) per submitted project. Particular emphasis must be given to the individual Deliverables per Work Section and for the entire project, which have been implemented in accordance with the relevant Decision of the Competent Bodies (see below) for year 2017.

• A Solemn Declaration as per Law 1599/86, duly signed by the company’s legal representative (signature originality certified by a public authority), stating explicitly the following:
• That the project’s expenditures are monitored through and reported in a separate account, which is kept per category of expenditure, and that the declarer (company’s legal representative) is aware of the fact that only expenditures duly recorded in that account qualify as eligible costs.
• Costs relating to purchases of laboratory equipment and instruments, for as long as those remain in use, relate exclusively to research activities.
• The submitted copies are true copies of the original documents.
• The original documents remain at GSRT’s disposal at all times.
• Purchase invoices do not represent costs which have been financed by other sources.
• A Certification Form (excel file) setting out the expenditures submitted in relation to the research projects. All sheets of the file must be thoroughly completed, separately for each research project.
• The company’s Articles of Association as effective (original AoA and amendments).
• Financial Statements (Balance Sheets) as per Article 16(4) of Law 4308/2014 (Government Gazette Series A, Issue No. 251) “Greek Accounting Standards, related regulations and other provisions” in respect of FY 2016 and 2017 (in relation to fiscal years ending on 30/06, the financial statements for periods 01/07/2015-30/06/2016 and 01/07/2016-30/06/2017 will be required).
• A separate account where S&T expenses are recorded, duly signed by the company’s legal representative and the Chief Accounting Officer or another competent accounting officer. If the company keeps Class B accounting records, a separate column shall be submitted.
• The relevant resolutions of the competent corporate bodies, including all information required under Article 4(3) of Joint Ministerial Decision 109343/Ι2 (GG B, 2351/11.07.2017) and in particular:

1. a) A description of the scope and the objectives of the S&T research project which is being implemented;
2. b) A thorough technical description of the project (work sections – methodology);
3. c) The deliverables;
4. d) The project implementation schedule;
5. e) The research team’s structure and the period that each member has been involved in the research project concerned;
6. f) The equipment and instruments that need to be purchased for implementation of the research project concerned;
7. g) Any other expenses necessary for implementation of the research project concerned;
8. h) A budget per expenditure category and the project’s overall budget.

• A costs allocation sheet (of 31/12/2017)
• Copies of purchase invoices per expenditure category, including all necessary supporting documents, as same are thoroughly listed in paragraph 2. above. Clarifications on eligible costs. Cost documentation shall be classified per project and expenditure category, based on the serial number indicated on the certification form.
• Analytical General Ledger of the Research and Development Cost Centre (where applicable).

It is noted that the copies of cost documentation must be taken after the project’s seal has been affixed on the original documents, indicating the complete name of the self-financed project.