NAM Begins Drive To Make R&D Credit Permanent

Jan. 13, 2005
By John S. McClenahen A year before the current R&D tax credit is set to expire, the National Association of Manufacturers (NAM), Washington, D.C., is pressing to make the credit permanent. The credit, which applies to incremental R&D outlays, has ...
ByJohn S. McClenahen A year before the current R&D tax credit is set to expire, the National Association of Manufacturers (NAM), Washington, D.C., is pressing to make the credit permanent. The credit, which applies to incremental R&D outlays, has been renewed 10 times since 1981. "But it has been allowed to elapse enough times, usually for unrelated political reasons, that responsible companies cannot confidently assume it will always be there when planning and budgeting," says Monica McGuire, NAM's senior tax policy director. On Capitol Hill, two companion measures, H.R. 463 and S. 664, would make the R&D tax credit permanent and base it on a three-year rolling average of outlays. Manufacturers do more than 60% of all U.S. private R&D, and more than 75% of R&D credit dollars help pay the salaries of employees associated with R&D work, NAM says. Under the current law, to qualify for the credit, companies must do the R&D work in the U.S.

Popular Sponsored Recommendations

Learn How Manufacturers like 3M Cater to Digital Buyers to Increase Sales

Aug. 13, 2023
In this article, you'll learn how manufacturers can balance educating and guiding their buyers through their complex buying process with a digital first approach to product discovery...

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

How Organizations Connect and Engage with Frontline Workers

June 14, 2023
Nearly 80% of the 2.7 billion workers across manufacturing, construction, healthcare, transportation, agriculture, hospitality, and education are frontline. Learn best practices...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!