5BEligible research and development activities

5B Eligible research and development activities

(1) For the purposes of section 5A, eligible research and development activities are research and development activities: (a) carried on by or on behalf of a shipbuilder during the period commencing on 1 July 1999 and ending on 30 June 2004; and (b) relating to the construction or modification of bountiable vessels; and (c) to which one of the following applies: (i) some or all of the activities are carried on in Australia; (ii) the activities are design and testing activities carried on at an approved hydrographic test facility. (2) The activities must be: (a) systematic, investigative or experimental in nature and carried on for the purposes of improving the shipbuilder’s business through: (i) acquiring knowledge (whether or not that knowledge will have a specific practical application to that business); or (ii) creating new or improved materials, products, devices, processes or services for that business; or (b) carried on for a purpose directly related to the carrying on of activities of a kind referred to in paragraph (a). (3) The Minister may determine, in writing, that a class of activity is not an eligible research and development activity for the purposes of this section. (4) A determination under subsection (3) is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901.