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Other Income
9 Months Ended
Jun. 30, 2020
Other Income  
Other Income Disclosure [TextBlock]

Note 3 Other Income

 

Grant Income

 

During the year ended September 30, 2017, the Company was awarded grant funding in the amount of $597,886. The grant was received in equal quarterly installments over a period of two years commencing during the year ended September 30, 2018 in exchange for a commitment to complete clinical testing for a therapeutic drug candidate for the treatment of Rett syndrome.

 

The grant income was deferred when received and amortized to other income as the related research and development expenditures were incurred. During the three and nine months ended June 30, 2020, the Company recognized $0 and $149,888, respectively (2019: $74,944 and $223,999, respectively) of this grant on its statement of operations within grant income. As at June 30, 2020, the Company had recognized the full amount of grant funding.

 

Research and development incentive income

 

The Company is eligible to obtain certain research and development tax credits, including the New York City Biotechnology Tax Credit (“NYC Biotech credit”), and the Australian research and development tax incentive credit (the “Australia R&D credit”) through a program administered through the Australian Tax Office (the “ATO”), which provides for a cash refund based on a percentage of certain research and development activities undertaken in Australia by the Company’s wholly owned subsidiary, Anavex Australia Pty Ltd. (“Anavex Australia”). Research and development incentive income during the three and nine months ended June 30, 2020 and 2019 represents the receipt by the Company’s Australian subsidiary, of the Australian research and development incentive credit, (the “ATO R&D Credit”), as well as receipt by the Company of the New York City Biotechnology Credit (“NYC Biotech credit”).

 

During the three and nine months ended June 30, 2020, the Company recorded research and development incentive income of $1,319,913 (AUD 1,923,000) and $2,980,456 (AUD 4,471,000), respectively (2019: $552,335 and $1,727,007, respectively) in respect of the ATO R&D Credit for eligible research and development expenses incurred during the period (2019: In respect of the ATO R&D Credit for eligible research and development expenses incurred during the period and the NYC Biotech credit).