Congressman Larry Bucshon, M.D. released the following statement following House approval of H.R. 4438, the American Research and Competitiveness Act, a bill that permanently extends the tax credit for research and development.
"Encouraging basic research and development (R&D) is vital to maintaining our role as a world leader on the cutting edge of science and technology. Unfortunately, federal government support for R&D has been flat, while mandatory spending programs like Social Security, Medicare, Medicaid and now ObamaCare consume an overwhelming share of the federal budget.
"On the House Science, Space, and Technology Committee, we are working to make every available research dollar count. As chairman of the Subcommittee on Research and Technology, I authored the Frontiers in Innovation, Research, Science and Technology Act, or FIRST Act. This is a good step to ensure federal tax dollars are spent efficiently and effectively. However, until we address the open-ended, automatic growth of mandatory spending, it will be difficult to maintain important federal investments in R&D.
"Furthermore, the uncertainty of an expiring tax credit for R&D is putting the United States at a disadvantage. Permanently extending the R&D tax credit would allow our American businesses, large and small, to confidently map their futures, spur economic growth and job creation.
"As a practicing physician for over 15 years, I saw first-hand the importance of technological innovation in driving down medical costs and raising the quality of care. As a father of four, I want my children to have the same advantages I saw growing up in an America that is not just competitive globally, but leads the world in innovation."
First enacted as part of the Economic Recovery Act of 1981, the R&D Tax Credit has been renewed fifteen times with bipartisan support. This tax credit has expired 9 times since 1981 and as it currently sits expired with no certainty of renewal, small businesses and innovators are left in the dark. Almost 20,000 businesses use the R&D Tax Credit annually and more than half of these are small businesses with assets of $5 million or less.
This document was issued by Larry Bucshon and was initially posted at bucshon.house.gov. It was distributed, unedited and unaltered, by noodls on 2014-05-09 16:50:11. The original document issuer is solely responsible for the accuracy of the information contained therein.