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Department of State Growth 1 Circular Head New Market Access Program Guideli nes

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Department of State Growth

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Circular Head New Market Access Program Guidelin

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ContentsBackground.....................................................................................................1Program objective............................................................................................1Definitions.......................................................................................................1Applicant and program eligibility......................................................................2Selection criteria..............................................................................................2Eligible expenditure.........................................................................................3Application process..........................................................................................4Successful applicants.......................................................................................4Taxation and financial implications of grant funding..........................................4Administration.................................................................................................5Confidentiality.................................................................................................5Publicity of grant assistance.............................................................................5Right to information.........................................................................................5Personal information protection........................................................................5Disclaimer........................................................................................................6

Circular Head New Markets Access Program

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BackgroundThe Tasmanian Government is committed to assisting and supporting the Circular Head region. The Circular Head New Markets Access Program (the Program) is a key initiative of the Circular Head Regional Economic Development Working Group aimed at fast tracking regional economic development.Funding of $200 000 is available during 2017-18 financial year.The Program provides up to 50 per cent of the cost to enterprises of developing new interstate and international markets. Maximum grant assistance is $20 000 subject to an amount no less than the grant being contributed by the applicant in cash, that is not in kind.

Program objectiveThe objective of the program is to support enterprises in the Circular Head region to explore and seek new opportunities and markets, both interstate and internationally.

DefinitionsGrant Agreement means a Grant Agreement entered into between an approved applicant and the Crown in Right of Tasmania.Project means a project which is the subject of a funding application under the Program.Project cost includes costs incurred by an applicant directly attributable to the Project, but excludes ongoing running costs associated with a Project.Program means this Circular Head New Markets Access Program.

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Applicant and program eligibilityTo be eligible for financial assistance from the Program the: applicant must have an Australian Business Number (ABN) and be registered for goods

and services tax (GST). applicant business enterprise must be located in the greater Circular Head region applicant must demonstrate the necessary capabilities, resources and capacity to

undertake the market development activity applicant’s products must be produced in the greater Circular Head region or

demonstrate that a significant level of value adding occurs in the Circular Head region applicant cannot receive in excess of $20 000 per financial year under this Program

irrespective of the number of marketing activities applicant must not be a claimant of the Austrade Export Market Development Grants

(EMDG) or any other Department of State Growth market development assistance scheme for the same activity;

applicant must have annual sales turnover greater than $100 000 applicant must not be a consultant or intermediary applicant must not be subject to any legal disability, including bankruptcy or

liquidation.

Joint applications are acceptable for collaborative marketing activities.

Selection criteriaAll applications are subject to a merit process, based on the following criteria:

the market potential of the product the applicant’s previous marketing experience and outlined marketing strategy as

detailed in the application the nature and quality of the marketing activity or initiative, as detailed in the

application the research conducted to substantiate the initiative applications for collaborative activities are encouraged.

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Eligible expenditureThe Program provides a reimbursement of up to 50 per cent of approved expenses for the development of new off island markets to a maximum of $20 000 grant assistance. Activities will only be supported if it can be clearly demonstrated that the activity is directly linked to an identified market opportunity. Retrospective expenditure will not be approved.As a guide the following expense items are eligible for up to a 50 per cent reimbursement, to a maximum of $20 000 grant assistance: Commission market research and business matching services

o Up to 50 per cent of the cost of market research, and business matching services.Note: ‘In-house’ or related party market research is not eligible.

Undertake promotional activitieso Up to 50 per cent of the cost of undertaking promotional activities including

advertising: national campaigns in TV, print and magazine media and/or online promotions including social media campaigns and/or website development for capability and capacity statements.

Note: ‘In-house’ or related party website development is not eligible. Development of promotional materials

o Up to 50 per cent of the cost of developing promotional items. Promotional items include:

printed brochures or pamphlets and/or digital productions such as DVDs or multimedia presentations and/or external support for capability and capacity statements.

Note: ‘In-house’ or related party promotional items are not eligible. Attending trade exhibitions and promotions

o Up to 50 per cent of the cost of the exhibition stand or promotional space.o Up to 50 per cent of the cost of exhibition equipment and infrastructure.o Up to 50 per cent of the cost of freighting promotional items to and from exhibitions

or promotions. Inbound buyer visits to Tasmania

o Up to 50 per cent of the cost incurred by the applicant associated with buyers visiting Tasmania.

Note: The rebate for this expense is capped at $2 000 per buyer visit from overseas or $1 000 per buyer visit from mainland Australia, unless collaborative efforts can be demonstrated with supply chains and industry partners in which case the expense is capped at $3 000 per buyer visit from overseas and $2 000 per buyer visit from mainland Australia.

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Travel to export market

o Up to 50 per cent of the cost of return economy airfare ex-Tasmania for one person.o Up to 50 per cent of the cost of on-ground expenses (moderate standard

accommodation, reasonable meals and reasonable transport only) for one person. It is a matter for the Department of State Growth to determine at its sole discretion what constitutes a reasonable expense amount, and the reimbursement will be no more than 50 per cent of such amount.

Note: The rebate for airfares and on-ground expenses is capped at $1 500 per international claim and $750 per national claim and is for one person only.

Application processFor an enterprise’s application to be approved, the application must be submitted and assessed before the market development activity takes place. Steps in the process are as follows:1. An enterprise is briefed on the Program by the Client Services Division in the

Department of State Growth. At this stage the enterprise should review the application form in detail to ascertain eligibility.

2. The application is submitted to the Client Services Division for assessment.3. The enterprise will be advised of the outcome. 4. A grant agreement will be prepared for execution by the successful enterprise.Applicants are encouraged discuss their application with the Department prior to submitting their application.

Successful applicants1. If successful the enterprise will need to submit the following for the reimbursement

to be processed: a. satisfactory proof of expenditure (with original receipt document to be sighted

upon request)b. a detailed written report on the activities undertaken and outcomes achieved c. tax invoice.

2. Additional reports on the outcomes of the activity may be requested up to 18 months after reimbursement.

3. If a significant outcome occurs as a result of the funded activity, the enterprise agrees unconditionally to the Government publicising the outcome and the enterprise will cooperate in any joint media opportunity involving Ministers that the Department of State Growth may require.

Please note, program assistance is available to enterprises failing to comply with the application process.

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Taxation and financial implications of grant fundingGrants under the Program attract GST. Grant payments to Grantees are increased to compensate for the amount of GST payable.The receipt of funding from this Program may be treated as income by the Australian Taxation Office (ATO). While grants are typically treated as assessable income for taxation purposes, how they are treated will depend on the grantee’s particular circumstances.It is strongly recommended that the potential applicants consider seeking independent advice about the possible tax implications for receiving a Grant under the Program from a tax advisor, financial advisor and/or the ATO, prior to submitting an application.

AdministrationThe Program will be administered by the Department of State Growth on behalf of the Crown in Right of Tasmania.Any person requiring further advice or information of the Program, or submitting an application, is asked to direct enquiries to the Circular Head New Markets Access Program Manager:

Email [email protected] Phone 64 777 090.

ConfidentialityThe relevant parties will use and disclose the information provided by applicants for the purposes of discharging their respective functions under the Program Guidelines and otherwise for the purposes of the Program and related uses. The department may also:

1. use information received in applications in any other departmental business2. use information received in applications and during the performance of the Project

for reporting.

Publicity of grant assistanceThe Department of State Growth disburses public funds and is therefore accountable for the distribution of those funds. As part of the accountability process, the department may Circular Head New Markets Access Program

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publicise the level of financial assistance, the identity of the recipient, the purpose of the financial assistance, and any other details considered by the department to be appropriate.

Right to informationInformation provided to the Department of State Growth may be subject to disclosure in accordance with the Right to Information Act 2009.

Personal information protectionPersonal Information will be managed in accordance with the Personal Information Protection Act 2004. This information may be accessed by the individual to whom it related, on request to the Department of State Growth. A fee for this service may be charged.

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DisclaimerAlthough care has been taken in the preparation of this document, no warranty, express or implied, is given by the Crown in Right of Tasmania, as to the accuracy or completeness of the information it contains.The Crown in Right of Tasmania accepts no responsibility for any loss or damage that may arise from anything contained in or omitted from or that may arise from the use of this document, and any person relying on this document and the information it contains does so as their own risk absolutely.The Crown in Right of Tasmania does not accept liability or responsibility for any loss incurred by any applicant that are in any way related to the Program.

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Department of State GrowthGPO Box 536Hobart TAS 7001 Australia

Phone:

64 777 090

Email:

[email protected]

Web: www.stategrowth.tas.gov.au

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