IT Association, NAM Call For Renewal Of R&D Tax Credit

Jan. 5, 2006
As Dec. 31 passed without the renewal of a research and development tax credit, the International Technology Association of America (ITAA) and National Association of Manufacturers (NAM) voiced their opinions to Congress. "We call on Congress to pass a ...

As Dec. 31 passed without the renewal of a research and development tax credit, the International Technology Association of America (ITAA) and National Association of Manufacturers (NAM) voiced their opinions to Congress.

"We call on Congress to pass a strengthened research and development credit that allows for the creation of the alternative simplified credit as soon as possible in 2006. Technology companies of all stripes factor this tax credit into their plans to conduct research and development in the U. S. and to create high quality jobs," announced (ITAA) vice president Stephanie Childs.

In a Dec. 19 letter to John Snow, Secretary, U.S. Department of the Treasury, ITAA explained, "Successful research and development not only affects the kinds of goods that flow to consumers, but also enhances the labor and capital inputs used to produce them. It is widely agreed that firms doing research and development do not capture all or even most of their investment through the price mechanism."

NAM urged renewal pointing out that " sustained U.S. economic growth depends more than ever on the innovation derived from research and development."

"Our U.S. economy and our manufacturing sector in particular have shown promising signs for many quarters, and it would be a shame to jeopardize this healthy expansion and job growth simply for lack of sufficient R&D investment," reasoned NAM Senior Director for Tax Policy Monica McGuire.

McGuire sees R&D investment in terms of global competition. "Canada, Ireland, China, France and many other economic competitors are actively courting U.S. R&D activity with a variety of incentives. If lawmakers don't quickly turn to extending and strengthening our own R&D credit when they get back to work next year, they'll have to accept responsibility if research formerly done here in America moves overseas."

Interested in information related to this topic? Subscribe to our twice-monthly Information Technology eNewsletter.

Popular Sponsored Recommendations

The Guide to Balancing Citizen Development and Governance in Manufacturing Operations

Sept. 19, 2023
Platforms with no-code capabilities provide a competitive advantage for manufacturers responding to rapidly changing disruptions and demands. This guide helps manufacturers maintain...

How to Build Zero-Cost On-Site Solar and Storage Projects

Nov. 25, 2023
The Inflation Reduction Act offers tax credits, incentives, and financing that enable no-cost projects. In Enel’s eBook, discover the critical role that incentives play in your...

Process Mining For Dummies

Nov. 19, 2023
Here it is. Everything you need to know about process mining in a single book, written in the easy-to-understand, hard-to-forget style that ‘For Dummies’ manages so effortlessly...

What Is the Next Step in Your 3D Printing Strategy?

July 11, 2023
Cutting-edge 3D printing solutions let you explore more ideas, create working prototypes in hours and enable bridge manufacturing and mass customization.

Voice your opinion!

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