Us Congress 2023-2024 Regular Session

Us Congress House Bill HB6685

Introduced
12/7/23  

Caption

Research and Development Tax Credit Expansion Act of 2023

Notes

Discussions o HB6685 may emphasize the necessity of research and development within the current economic landscape, and how effectively deploying these tax credits can catalyze growth in sectors where small business innovation is crucial. Stakeholders and policymakers will likely evaluate both immediate benefits to businesses and the broader economic consequences of adopting such measures.

Impact

The bill aims to significantly impact state laws and small business operations by increasing the maximum amount of eligible gross receipts for small businesses from $5 million to $10 million and enhancing credit rates for new and small businesses. Specifically, it proposes to increase the credit rate for first-year qualified research expenses and ensures that credits are refundable against unemployment taxes. These changes are expected to encourage more small enterprises to engage in innovative activities by making these tax incentives more accessible and financially beneficial.

Summary

House Bill 6685, known as the Research and Development Tax Credit Expansion Act of 2023, seeks to amend the Internal Revenue Code to enhance and simplify the eligibility for the research credit specifically for certain small businesses. This legislation is aimed at providing greater financial support to these entities, enabling them to better leverage tax credits for their research and development expenses. The proposed alterations include an adjustment for inflation to the credit amounts and a broader definition of which businesses qualify for these incentives.

Contention

Noteworthy contentions surrounding HB6685 may arise from potential debate on fiscal implications and the allocation of government resources devoted to these tax credits. Supporters argue that the bill promotes economic growth and innovation, especially amid heightened competition in various industries, whereas detractors might question the sustainability and long-term efficacy of expanded tax breaks without equivalent offsets in revenue or adjustment in public spending.

Companion Bills

No companion bills found.

Previously Filed As

US HB4933

Research and Development Tax Credit Expansion Act of 2025

US HB6650

Community Development Investment Tax Credit Act of 2023

US HB6731

FORWARD Act of 2023 Finding Orphan-disease Remedies With Antifungal Research and Development Act of 2023

US HB6576

Full-Service Community School Expansion Act of 2023

US HB5821

Mental Health Research Accelerator Act of 2023

US HB9183

STAR Act of 2024 Semiconductor Technology Advancement and Research Act of 2024

US HB6686

Workforce Housing Tax Credit Act

US HB6665

MARKET CHOICE Act Modernizing America with Rebuilding to Kickstart the Economy of the Twenty-first Century with a Historic Infrastructure-Centered Expansion Act

US HB5457

Carbon Dioxide Removal Research and Development Act of 2023

US SB3464

FORWARD Act of 2023 Finding Orphan-disease Remedies With Antifungal Research and Development Act of 2023

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