Press Releases

Today, Representatives Suzan DelBene (WA-01), Ron Estes (KS-04), John Larson (CT-01), and Rudy Yakym (IN-02) reintroduced the American Innovation and R&D Competitiveness Act. The bipartisan bill permanently allows for immediate research and development expensing, retroactive to 2022 when the provision expired.

"Washington has been at the forefront of advanced technology development, and the R&D credit has had a significant impact on our region's success," said DelBene. "Restoring the R&D credit is imperative for businesses to have the tools they need to invest in cutting-edge research and the development of new technologies. This legislation will ensure that the U.S. continues to be a global leader in innovation while creating more jobs and boosting our economy."

"Research and development in the United States does more than just advance innovation, it provides good-paying jobs for Americans across the country and strengthens our nation," said Estes. "There is bipartisan support for immediate expensing of R&D costs because it's good for the workforce and the economy, brings new products and services to the marketplace, and ensures that our country remains the leader in innovation around the world. For the past several years, U.S. job creators and innovators have been unable to immediately expense R&D costs in the year they occur, and as a result we've seen domestic research and development slow while other countries incentivize and benefit from expanded R&D. A significant number of workers, community leaders, businesses and lawmakers on both sides of the aisle agree that we must address R&D expensing this year."

"Research and development play an integral role in creating good-paying jobs across the country, especially as we work to strengthen our economic competitiveness," said Larson. "The 2017 Tax Law’s elimination of immediate R&D expensing has made it more difficult for businesses to invest in developing the technologies of the future, including small business owners and engineers in my district. I am thrilled to partner with Reps. Estes, DelBene, Yakym, and so many of my colleagues on both sides of the aisle to fix the R&D tax deduction so American businesses and workers can continue to be the world leader in technology and innovation."
 
"Manufacturing is the backbone of Indiana's economy, from medical device development to boats, RVs, and everything in between," said Yakym. "Research and development fuels economic growth, creates jobs, and keeps America competitive globally. This bipartisan, commonsense bill is a win for manufacturers, innovators, and hardworking Hoosiers. I look forward to permanently extending the R&D tax credit to ensure the United States remains the best place to invest and do business."
 
"R&D is the lifeblood of manufacturing innovation. For nearly 70 years, manufacturers in the U.S. could fully deduct their R&D expenses in the year incurred—but companies now must spread their R&D deductions over several years, increasing costs and harming manufacturers' ability to invest in innovation. The American Innovation and R&D Competitiveness Act would restore immediate R&D expensing, supporting manufacturers' efforts to invest in American jobs and innovation," said Charles Crain, managing vice president of policy, National Association of Manufacturers.
 
"The American Innovation and R&D Competitiveness Act offers a much-needed boost for the equipment manufacturing industry at a time when America faces adverse inflation and strained supply chains. By restoring strong incentives for research and development expenditures, this legislation will encourage more equipment manufacturers to develop the best and most advanced products in the United States, driving domestic innovation and growth across the industry," said Kip Eideberg, senior vice president of government and industry relations, Association of Equipment Manufacturers (AEM).

You can read the full text of the bill here.