Therapeutic Discovery Project Credit

The Therapeutic Discovery Project (TDP) was enacted in 2010 to provide bridge financing to small biotechnology companies conducting groundbreaking research. The program awarded $1 billion in credits and grants to nearly 3,000 biotech companies, creating jobs, bolstering U.S. competitiveness, and advancing the search for cures and breakthrough medicines. BIO supports extending and expanding this important program.

BIO believes that the level of support provided by the TDP simply cannot meet the needs of the growing biotech field. As evidence of the project's popularity suggests, Congress should consider extending or expanding the project in order to support American innovation and speed the development of life-saving cures.

The biotech industry is a thriving sector employing 1.3 million Americans in high quality, high paying jobs.

In 2010, the Therapeutic Discovery Project (TDP) awarded $1 billion in tax credits to about 2,923 small biotechnology companies across the country to accelerate discovery of promising, cutting-edge cures to treat devastating diseases like cancer, heart disease, diabetes, and Alzheimer’s.

The Therapeutic Discovery Project provided much-needed relief for emerging biotech companies  working on life-saving treatments and cures

Emerging biotech companies with promising scientific innovation need a policy environment that will enable them to continue critical research and development of medical advancements and breakthroughs.

The government’s Qualifying Therapeutic Discovery Project Program is doing what it was intended to do, according to a recent survey of senior executives at small biotechnology companies.

Biotechnology is all around us and is already a big part of our lives, providing breakthrough products and technologies to combat disease, reduce our environmental footprint, feed the hungry, and make useful products.

We have used the biological processes of microorganisms for 6,000 years to make useful food products, such as bread and cheese, and to preserve dairy products.

Today, the biotechnology industry is enjoying more success and influence than ever before. Our industry’s innovations continue to improve the lives of people worldwide, and the advancement of these innovations is supported by the work of BIO.

Letters, Testimony & Comments

April 30 2015
On behalf of the Biotechnology Industry Organization Before the United States House of Representatives Committee on Financial Services, Subcommittee on Capital Markets and Government Sponsored Enterprises --- Legislative Proposals to Enhance Capital Formation and Reduce Regulatory Burdens
April 1 2011
BIO submitted comments in response to the Request for Comments on the Strategy for American Innovation issued by the U.S. Department of Commerce. BIO addressed policies relating to government research and development, entrepreneurship, intellectual property, and incentives to innovate. BIO encouraged the Department of Commerce to help create an environment conducive to risk-taking and one that will unleash the tremendous potential of biotechnology.
August 3 2010
This Notice provides the procedures under which an eligible taxpayer may apply for certification from the IRS and HHS of a qualified investment with respect to a qualifying therapeutic discovery project as eligible for a credit or a grant under the program.
August 3 2010
BIO advocated for the recently enacted new Therapeutic Discovery Project Credit program, which was created as a unique opportunity for companies in a loss position to earn tax credits for up to 50 percent of many of their R&D activities, and at their option, exchange these credits for a grant, on 1:1 basis.
November 19 2009
As Congress considered healthcare reform patient advocacy groups submitted a letter to Congressional leadership asking for their support of the Therapeutic Discovery Project Tax Credit.

Press Releases

October 28 2013
BIO responds to a Senators letter to FDA Commissioner Margaret Hamburg, regarding naming standards for biosimilars - drugs that are similar to, but not the same as the innovator drugs they seek to replicate.
February 15 2012
The bill will modernize the FDA and accelerate patient access to cures and new treatments.
December 19 2011
Extension of cellulosic biofuel tax credits now and eligibility for algae biofuels are needed to help companies raise financing for first-of-a-kind biorefineries.  
September 19 2011
  The Biotechnology Industry Organization (BIO) today announced the preliminary set of speakers who will be featured on the Therapeutic Workshops during the10th annual BIO Investor Forum to be held October 25 - 26 in San Francisco, CA. 
May 25 2011
BIO commends Reps. Davis (D-Ca) and Schwartz (D-PA) for their continued efforts to extend the Qualifying Therapeutic Discovery Project Tax Credit.