Private ruling: Early stage innovation company
Date of advice: 26 November 2025
Published: 19 January 2026
Ruling period: Year ending YYYY
Date scheme commenced: DD MM YYYY

Ruling: Q1: Does the Company satisfy the criteria of an Early Stage Innovation Company pursuant to subsection 360-40(1) of the Income Tax Assessment Act 1997 ? | A1: Yes

Relevant facts and circumstances: The Company The Company is an Australian company incorporated in MM YYYY. It has no ultimate holding company and no subsidiaries. The Company will not be listed on any stock exchange in the YYYY income year and will not be a foreign company (within the meaning of the Corporations Act 2001 ). The Company develops and holds intellectual property. The 'test times' for determining whether the Company is an Early Stage Innovation Company ( ESIC ) comprise all times in the YYYY income year. The Company is an ESIC The Company meets the requirements of subsection 360-40(1) of the Income Tax Assessment Act 1997 , to be an ESIC because the Company: • was incorporated in Australia within the last 3 income years; • has not had more than $1 million of total expenses or more than $200,000 of total assessable income in any of its earlier income years; • has not had its equity interests listed for quotation in the official list of any stock exchange, either in Australia or a foreign country; and • is not a foreign company within the meaning of the Corporations Act 2001. Furthermore, the Company meets the requirements under the principles-based innovation test in paragraph 360-40(1)(e) of the Income Tax Assessment Act 1997 for the reasons set out below. Product Development and Development Stages The Company developed a platform, and the Company has demonstrated development phases. Commercialisation Strategy The Company is commercialising the platform through strategic partnerships. High Growth Potential The Company demonstrates that its innovation has the potential for high growth within a broad addressable market because its platform is flexible without requiring changes. Scale up the Business The Company's addressable market include both the Australian market and overseas market. Broader than the Local Market The Company demonstrates that its platform is broader than the local market. Competitive Advantages The Company has demonstrated the potential to have competitive advantages within the market. Information Provided You have provided a number of documents containing detailed information related to the Company, including: • Private binding ruling application dated DD MM YYYY. • The Company's Business Case dated MM YYYY. • Australian Securities & Investment Commission Company Summary dated DD MM YYYY. We have referred to the relevant information within these documents in applying the relevant tests to your circumstances. Conclusion The Company meets the eligibility criteria of an ESIC under section 360-40 of the Income Tax Assessment Act 1997 during the year ending DD MM YYYY.

Relevant legislative provisions: Income Tax Assessment Act 1997 Subdivision 360-A | Income Tax Assessment Act 1997 section 360-15 | Income Tax Assessment Act 1997 section 360-40 | Income Tax Assessment Act 1997 section 360-45