Plutora may have to shutter its local operations, despite a $46 million investment from Macquarie Capital.

Administrators have been appointed following debate over the company’s qualification for research and development tax rebates.

Dalibor Siroky, Plutora’s co-founder and CEO, has reacquired Macquarie’s stake for a nominal $1, hinting at efforts to salvage the company by pivoting towards a US-centric operation. 

The drastic markdown from a multi-million dollar investment to a single dollar shows the regulatory challenges faced within the Australian tax landscape, according to some analyses.

Plutora is reportedly keeping its US, UK, and Australian branches operating as usual despite the administrative turmoil in Australia. 

It is also alleged to be working on a restructure plan, aimed at overcoming the impasse with the Australian Taxation Office (ATO) over R&D tax incentives.

The ATO’s scrutiny, following Macquarie’s increased investment in 2019, is said to centre on the interpretation of control and its impact on tax incentive eligibility.

The administrative review and the potential tax liabilities could have implications for the company’s governance model, stakeholder relationships, and strategic direction.