SOCMA CEO predicts reintroduction of rejected permanent R&D tax credit plan and urges Congress to act “sooner rather than later” to support US manufacturers.
Socma believes the making the tax credit permanent will restore certainty to the R&D funding area and will spur innovation. The bill was temporarily derailed in political manuevering around a rider bill to stimulate small businesses. It is not dead but delayed.
SOCMA CEO Lawrence Sloan told in-pharmatechnologist that rejection of the bill “[is] not so much a setback as it is not a step forward. There's uncertainty as to how the R&D tax credit is to be funded and we're concerned that offsetting revenue collections would negatively impact chemical manufacturers.” Tax incentives help companies with their bottom lines and encourage them to innovate.
I think passage of this bil would be a good policy move to support continued competitive leadership for the US pharma and biotech industry.
Posted by Bruce Lehr September 20th 2010.