AWLabs

Government grants for software and app development in Australia (November 2026)

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The short answer

As at 8 November 2026 there is no open federal grant that funds an ordinary software or app build. The Industry Growth Program has been paused to new applications since 12 May 2026, the Export Market Development Grants program is closed between rounds, and the R&D Tax Incentive is a tax offset for eligible experiments, not a grant. A few state programs are narrower and time limited: Queensland's Construction Business Advancement Grant (up to $5,000 for software from a catalogue) is open until 7 May 2027, while NSW MVP Ventures Round 3 closed on 10 April 2026. Check each program's own page before you plan a budget around it.

Key takeaways

  • Most Australian software builds are funded from revenue or investment, with the R&D Tax Incentive offsetting some eligible experiment costs after the work is done. Grants are the exception, not the plan.
  • The Industry Growth Program (grants of $50,000 to $5 million for innovative SMEs in National Reconstruction Fund priority areas) is paused to new applicants. Existing grant agreements continue.
  • EMDG pays matched funding for export marketing, not product development, and had no round open when we checked.
  • State grants change often and many fund buying software, not building it. Queensland's open construction grant is a rebate on catalogue products.
  • Almost every grant refuses spending you've already committed to. Don't sign a build contract you want funded until you have a written outcome.
  • Be wary of anyone who guarantees a grant or charges a large success fee upfront. Nobody outside the program can guarantee an outcome.

Are there government grants for software and app development in Australia?

Yes, but far fewer than search results suggest, and as at 8 November 2026 none of the open ones will pay for a typical custom app build. The programs people usually mean when they search for “grants for app development” are either paused, closed between rounds, limited to one industry or state, or not a grant at all.

Most Australian companies that build software fund it from revenue, savings or investors. Where public money helps, it is usually the R&D Tax Incentive, which is a tax offset on eligible experimental work claimed after the year ends. A grant is a bonus if one fits; it is a poor foundation for a project plan.

Every status below was checked on the program’s own page on 8 November 2026. Grant programs open, close and change with budgets, so treat this page as a starting point and confirm on the source before you spend anything.

Which federal programs are open right now?

None of the federal grant programs that fund product development are taking new applications today. The R&D Tax Incentive remains available because it is legislated, but it is an offset, not a grant.

ProgramWhat it fundsAmountStatus at 8 Nov 2026
Industry Growth Program (IGP)Advisory service plus grants for innovative SMEs commercialising products in National Reconstruction Fund priority areasEarly stage commercialisation $50,000 to $250,000; commercialisation and growth $100,000 to $5 millionPaused to new applications since 12 May 2026
Export Market Development Grants (EMDG)Matched funding for international marketing and promotionTier 1 $20,000 to $30,000; Tier 2 $20,000 to $50,000; Tier 3 $20,000 to $80,000 a yearClosed; no round open, Round 4 applications closed
R&D Tax Incentive (R&DTI)Tax offset on eligible core and supporting R&D expenditureDepends on turnover and tax positionAvailable; register within 10 months of the income year end
Digital Solutions (Australian Small Business Advisory Services)Subsidised digital advice and coaching, not moneyUp to five hours of coaching per business in Round 3Funded for Round 3 (announced 4 June 2026); delivered by regional providers

The Industry Growth Program

The IGP was the closest thing to a federal software commercialisation grant, and it is paused. business.gov.au describes two grant streams, $50,000 to $250,000 for early stage commercialisation and $100,000 to $5 million for commercialisation and growth, for companies with combined annual turnover under $20 million in each of the three years before applying. Projects had to sit in a National Reconstruction Fund priority area such as medical science, renewables and low emissions technologies, defence capability, value add in resources or agriculture, transport, or enabling capabilities.

The page now says the program “is currently paused to new applications”. SmartCompany reported on 20 May 2026 that the pause began on Budget night, 12 May, and that the department said existing advisory services and grant agreements would continue. No reopening date had been announced when we checked.

Even when it was open, the IGP was not a general software fund. The program page says minor changes or improvements to existing products or services are not considered innovative. A booking app for your own business, or a rebuild of an internal system, was never the target.

Export Market Development Grants

EMDG reimburses export marketing, not development. It provides matched funding to Australian SMEs promoting their products overseas, which can include software and digital products, but the money is for marketing and promotion in international markets. Austrade’s page says no grant rounds are open and it will update the site when timing of the next round is confirmed. business.gov.au lists funding of up to $104.5 million for each of 2025 to 26 and 2026 to 27.

If you sell, or plan to sell, software to overseas customers, EMDG is worth tracking for the go to market budget. It won’t help with the build itself.

The R&D Tax Incentive

The R&DTI is the program most likely to return some of a software project’s cost, and it isn’t a grant. It is a tax offset for companies that run genuine experiments to resolve technical uncertainty. For companies with aggregated turnover under $20 million, business.gov.au describes the offset as refundable and equal to the corporate tax rate plus an 18.5% premium.

The Government announced changes in the 2026 to 27 Budget that would start from 1 July 2028, including removing supporting R&D activities from the offset, lifting the minimum eligible spend from $20,000 to $50,000, and limiting the refundable offset to a company’s first 10 years. The ATO notes the measure is not yet law. Our R&D Tax Incentive eligibility guide explains what software work can qualify, and the cost guide explains how it affects cash flow on a project. Neither is tax advice.

What state programs touch software?

State programs are narrower than federal ones, change more often, and frequently fund buying software rather than building it. These are the ones most often searched for, with their status on 8 November 2026.

StateProgramWhat it fundsStatus at 8 Nov 2026
NSWMVP VenturesGrants of $20,000 to $50,000 (Stream 1, up to 50% of project cost) or up to $75,000 (Stream 2, up to 75%) to bring an innovative product to marketRound 3 closed 10 April 2026; no new round listed
QueenslandConstruction Business Advancement GrantUp to $5,000 ex GST, paid as a rebate, for business management software and training from a catalogueOpen until 5pm, 7 May 2027, unless funding runs out
QueenslandBusiness Boost$10,000 to $20,000 for productivity projects, including specialised and automated softwareClosed; Round 4 recipients notified
QueenslandSmall Business Digital GrantsHistorically, matched funding for digital tools and servicesNot on the current grants schedule
Victoria and other statesVariousChanges frequentlyCheck the state grants finder directly

NSW MVP Ventures

MVP Ventures is a competitive grant for very early NSW companies with an innovative product, not a general app grant. To be eligible a business must be a company headquartered in NSW, hold the IP or rights to commercialise it, have aggregated turnover of $400,000 or less in each of the three prior years, and have 10 or fewer full time equivalent staff including founders. Projects must move the product along the Technology Readiness Level scale between 3 and 9 and be completed within 12 months.

Stream 2 offers a higher grant percentage to businesses that are majority women owned and managed, regionally headquartered, or Aboriginal and/or Torres Strait Islander majority owned and managed. Round 1 opened in September 2025, Round 2 in November 2025 and Round 3 ran from 9 March to 10 April 2026, so if the pattern holds, watch the page for a further round.

Queensland

Queensland’s open digital grant is for construction and trade businesses buying existing software. The Construction Business Advancement Grant is for businesses with 19 or fewer employees, turnover of $10 million or less in 2025 to 26, a construction related ATO industry code and a Queensland headquarters. Funding is paid as a rebate on products chosen from the program’s catalogue, including SaaS subscriptions for up to 24 months. Business Queensland says plainly: do not buy your software or training until you’ve been told your application is successful.

That makes it useful for a trade business moving onto a job management platform, and not useful for funding a custom build. If you’re weighing a platform against custom software, see our guide to software for trades businesses.

The Small Business Digital Grants program is still quoted on many websites at up to $10,000. It doesn’t appear on Business Queensland’s grants schedule as checked on 8 November 2026, so don’t plan around it.

What will grants usually refuse to fund?

Grant guidelines tend to exclude the same things, and most software projects hit at least one of them. Read the guidelines for the specific round, but expect these exclusions:

  1. Work you have already started or paid for. Expenditure before approval or a signed grant agreement is generally ineligible.
  2. Ordinary business software. Internal admin systems, websites and routine apps usually fail an “innovation” test.
  3. Minor improvements to an existing product. The IGP program page says these aren’t considered innovative.
  4. Applicants in the wrong structure. Many programs exclude sole traders, partnerships and trusts. MVP Ventures and the IGP require an incorporated company.
  5. Work done mostly outside the state or the country. State programs usually require most activity to happen locally.
  6. Spending you can’t evidence. Rebates and milestone payments depend on invoices, proof of payment and acquittal reports.

How should you plan a build if a grant might be available?

Plan the project as if the grant won’t arrive, then sequence it so a grant could still apply. This is the order that keeps both options open:

StepWhat to doWhy
1Check the program page and guidelines for the current roundStatus and rules change between rounds
2Confirm your entity type, turnover and headcount fitThese are hard eligibility gates
3Scope the project in writing before applyingApplications ask for budget, milestones and outcomes
4Get quotes, but don’t sign or pay for the funded part yetCommitted spend is usually ineligible
5Ask a registered R&D tax agent how a grant affects any R&DTI claimATO clawback rules apply when a government grant covers expenditure also claimed as R&D
6Only start funded work after written approvalProtects eligibility
7Keep invoices, timesheets and progress records as you goNeeded for milestone payments and acquittal

A paid scoping step can help with step 3, because a grant application needs the same things a build needs: what you’re making, for whom, the milestones, and what it costs. Our guide to the software discovery phase explains what that produces.

Should you pay a grant writer or consultant?

A good grant writer can save you time on a program you are clearly eligible for; nobody can guarantee you a grant. Programs like MVP Ventures and the IGP are competitive and merit based, assessed by the department, not by the consultant.

Warning signs:

  • A promise that you’ll receive a grant, or a “guaranteed” amount
  • A large fee upfront for a program that isn’t open
  • Advice to start spending before approval
  • Advice to describe ordinary development as R&D to fit a program
  • An R&D claim prepared by someone who isn’t a registered tax agent

For the R&D Tax Incentive specifically, only a registered tax agent should prepare the claim. Our partner accountants at Crescendo Strategy, a separate firm, or your own registered R&D tax agent can advise on eligibility.

How AWLabs approaches grant funded and R&D work

We are software engineers, not grant writers or tax agents, so we don’t apply for grants on your behalf or tell you what you’ll receive. What we can do is make the project easy to evidence.

The first conversation is a Development Consult. If the project proceeds, a paid Discovery Audit produces a written scope, and the fixed price Schedule of Work then sets out three options: The Minimum, The Recommended and The Complete. A grant application or R&D claim can draw on those documents for milestones and budget. Where you tell us the R&D Tax Incentive matters, we keep hypotheses, experiment notes and time records alongside the code so your tax agent works from records made at the time. You get progress updates every Tuesday and Friday, Sydney time, which also gives you a dated trail of what was done and when.

If an honest read says your project is routine development, we’ll tell you before you budget around an offset or a grant. See our R&D Tax Incentive page for how we document projects, or our startup MVP service if you’re planning a first version.

Frequently asked questions

Can I get a government grant to build an app in Australia?

Sometimes, but rarely for an ordinary app. Grants that touch software usually fund commercialising a genuinely innovative product (such as NSW MVP Ventures when a round is open) or buying existing software (such as Queensland's Construction Business Advancement Grant). As at 8 November 2026, no open federal grant funds a general app build.

Is the R&D Tax Incentive a grant?

No. It is a tax offset claimed in a company's tax return after eligible R&D activities are registered with the Department of Industry, Science and Resources. It only applies to experimental work that resolves a genuine technical hurdle, and only companies can claim. Talk to a registered R&D tax agent about whether any of your project qualifies.

Is the Industry Growth Program still open?

Not to new applicants. business.gov.au says the program is currently paused to new applications, and the department told SmartCompany in May 2026 that existing advisory services and grant agreements continue during the pause. Check the program page for any reopening.

Can I apply for a grant after I've started building?

Usually not for the work already done. Most guidelines exclude expenditure incurred before the grant agreement or approval, and some, like Queensland's construction grant, say plainly not to buy anything until you're told you're successful. Read the guidelines before you commit spending.

Can I get both a grant and the R&D Tax Incentive for the same work?

Possibly, but there is a catch. Under the ATO's clawback rules (Subdivision 355-G of the Income Tax Assessment Act 1997), if a government grant or reimbursement covers expenditure you also claimed under the R&D Tax Incentive, your assessable income is increased, which reduces the net benefit. The interaction is technical, so a registered R&D tax agent or your accountant should work it out before you apply.

Are there grants for startups in NSW?

The NSW Government's MVP Ventures program has funded early stage companies with grants of $20,000 to $75,000 depending on stream, but Round 3 closed on 10 April 2026 and no new round was listed when we checked. It is limited to NSW headquartered companies with turnover of $400,000 or less and 10 or fewer full time equivalent staff.

What happened to the Queensland Small Business Digital Grant?

It is still widely quoted online, but it doesn't appear on Business Queensland's small and family business grants schedule as checked on 8 November 2026. The digital funding currently open in Queensland is the construction specific grant for business management software.

This page is general information, not tax advice. AWLabs is not a registered tax agent. Eligibility for the R&D Tax Incentive depends on your circumstances; speak to a registered R&D tax agent and see business.gov.au and the ATO.

Sources

  1. Industry Growth Program, business.gov.au
  2. Industry Growth Program paused: startup support takes another blow (20 May 2026), SmartCompany
  3. Export Market Development Grants (EMDG), business.gov.au
  4. Export Market Development Grants, Austrade
  5. Overview of the R&D Tax Incentive, business.gov.au
  6. Tax Reform: better targeting the Research and Development Tax Incentive (12 May 2026), Australian Taxation Office
  7. How clawback adjustments work (government grants and reimbursements), Australian Taxation Office
  8. MVP Ventures Program, NSW Government
  9. MVP Ventures 2025 to 2026 Round 3: key information, NSW Government
  10. Small and family business grants schedule, Business Queensland
  11. Construction Business Advancement Grant Program, Business Queensland
  12. Business Boost Grants Program, Business Queensland
  13. Backing small business to thrive in the digital economy (4 June 2026), Treasury Ministers
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