R&D Tax Credit Reauthorized In $700 Billion Bailout Law

摘要

The $700 billion financial bailout bill President Bush signed last week reauthorizes until Dec. 31, 2009, the R&D tax credit supported by drugmakers. Under the Emergency Economic Stabilization Act of 2008, the R&D tax credit is retroactive for the 2008 tax year. The credit, which Congress allowed to expire last year, was attached to the bill by the Senate. The legislation strengthens the credit for the 2009 tax year by increasing the alternative simplified credit formula rate from 12 percent to 14 percent, which would benefit some pharmaceutical companies, Monica McGuire, senior policy director at the National Association of Manufacturers and executive secretary of the R&D Credit Coalition, told WDL.