The US Senate voted on a resolution that included the bipartisan amendment that related to the promotion of US competitiveness and innovation through expanded tax incentives for research and development activities (R&D). The resolution is a vote in favor of new legislation that would ultimately expand the R&D tax credit to more small businesses and preserve full expensing for R&D investments. This is important because without the amendment R&D expenses must be amortized beginning next year (2022), thereby increasing your taxes.
The amendment was initially proposed by Senators Maggie Hassan (D-N.H.) and Todd Young (R-Ind.) when they introduced the American Innovation and Jobs Act earlier this year. The resolution was recently approved during budget resolution framework. This resolution does not make the amendment law, however, it further indicates the continued bipartisan support for R&D tax measures in Congress and suggests provisions that will be included in a future bill of law.
The resolution now moves to the House for consideration and you can help support the outcome. Below is a link to find and contact your local congressmen and women to request their support of this provision today!