BIO Applauds Passage of American Research and Competitiveness Act.
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Press Release Summary:
BIO applauded House of Representatives for making Research and Development Tax Credit permanent by passing American Research and Competitiveness Act of 2015 (H.R. 880). Citing its "vital role in supporting the search for cures and breakthrough medicines," BIO's Jim Greenwood voiced strong support for making R&D Tax Credit permanent part of tax code not subject to yearly extensions. Cited benefits included investment encouragement for research-intensive businesses in diverse industries.
Original Press Release:
BIO Applauds the U.S. House of Representatives for Passage of the American Research and Competitiveness Act
WASHINGTON--Today, the Biotechnology Industry Organization (BIO) applauds the House of Representatives for passing the American Research and Competitiveness Act of 2015 (H.R. 880) to make permanent the Research and Development Tax Credit.
“We commend Rep. Kevin Brady (R-TX) for sponsoring this bill and we look forward to working together to enact this critical legislation.”
The following can be attributed to Jim Greenwood, BIO's President and CEO:
"We strongly support making the R&D Tax Credit a permanent part of the tax code, not subject to yearly extensions, as it has played a vital role in supporting the search for cures and breakthrough medicines.
"By making this tax credit permanent, companies conducting their development programs will be able to estimate their tax liability and will not be burdened by the constant uncertainty regarding whether or not the R&D Tax Credit will be extended.
"This legislation will encourage investment in research-intensive businesses in a wide swath of industries, invigorating both biotech R&D and scientific progress being made by business innovators across the country. These research-intensive companies rely on private investment to support their groundbreaking R&D - and the investment dollars that fund the decade-long, billion-dollar biotech pipeline are supporting the next generation of breakthrough technologies.
"A permanent R&D Tax Credit would support and foster creation of the high-wage jobs associated with R&D in the biotechnology industry, as well as other sectors of our economy, and provide greater certainty and assist American biotechnology companies as they plan future research investments in the U.S.
"We commend Rep. Kevin Brady (R-TX) for sponsoring this bill and we look forward to working together to enact this critical legislation."
In addition, BIO supports the Partnerships to Advance Revolutionary Technology and Novel Entrepreneurial Research (PARTNER Act, HR 2179). The PARTNER Act would allow companies to partner with their investors on a specific research project or pipeline. Only start-up and small companies dedicated to R&D would be eligible to use these R&D Partnership Structures, so investors would be incentivized to invest at an earlier stage when the capital is most needed. Rep. Pat Meehan (R-PA) introduced the PARTNER Act (H.R. 2179), and the bill is co-sponsored by Reps. Richard Neal (D-MA), Mike Kelly (R-PA), Ron Kind (D-WI) and John Larson (D-CT).
For more information on BIO and the biotechnology industry, please visit http://www.bio.org.
Contacts
Biotechnology Industry Organization
Tracy Cooley, APR, 202-312-9274
