By SEMA Washington, D.C., Staff
The U.S. House Ways and Means Committee passed SEMA-supported legislation to renew the Research and Development (R&D) tax credit, which expired at the end of 2014. The “American Research and Competitiveness Act of 2015” (HR 880) would increase the alternative simplified credit from 14% to 20%, make the credit permanent and provide small businesses with a credit against the Alternative Minimum Tax. The Senate has also introduced a bipartisan bill to expand the R&D credit and make it permanent. However, the Senate Finance Committee is expected to focus on comprehensive tax reform before considering individual credits.
In related action, the U.S. House of Representatives has already passed a bill to permanently allow small businesses to write off their capital investments, up to $500,000, in the year the purchases were made under Section 179 of the tax code. This legislation would remove small-business uncertainties about tax deductions when making long-term investments.
For additional details, contact Eric Snyder at email@example.com.