Note 6 - Research and Development Tax Rebate Receivable

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Research and Development Tax Rebate Receivable [Text Block]

NOTE

6:

RESEARCH AND DEVELOPMENT TAX REBATE RECEIVABLE

On

May 23, 2017,

Atossa formed a wholly-owned subsidiary in Australia called Atossa Genetics AUS Pty Ltd. The purpose of this subsidiary is to perform research and development activities (“R&D”) including our Phase

1

and Phase

2

Endoxifen clinical trials. Australia offers an R&D cash rebate of

$0.435

per dollar spent on qualified R&D activities incurred in the country. For the years ended

December 31, 2019 

and

2018,

the Company incurred qualified R&D expenses in Australia of approximately

$1,381,000

 and

$851,000,

respectively, and recorded a rebate receivable of approximately

$740,000

and

$370,000

on those expenses, respectively.  For the years ended

December 31, 2019

and

2018,

the Company collected R&D cash rebates of 

$486,550

and

$143,763,

respectively. At

December 31, 2019

and

2018,

we had a total R&D rebate receivable of

$739,656

 and

$518,098,

respectively.