BIO Expresses Support for Tax Extender Legislation

The Biotechnology Industry Organization (BIO) today welcomed legislation to extend critical tax incentives that are important to biotechnology companies. The legislation would make permanent the important Research & Development Tax Credit and expands eligibility for start-up companies, extend through 2016 the Second Generation Biofuel Producer Tax Credit and the Special Depreciation Allowance for Second Generation Biofuel Plant Property, and extend through 2019 the Controlled Foreign Corporation Look-Through Rule.

BIO President and CEO Jim Greenwood released the following statement:

“The R&D Tax Credit is pro-innovation, pro-growth, and pro-America, and we strongly support making it permanently available to biotechnology companies as they search for new cures and treatments. The credit is a vitally important incentive that spurs private-sector investments and helps the biotech industry generate thousands of high-paying jobs, as 70 percent of credit dollars are used to support salaries. We strongly support the provision to allow eligible small businesses to claim the credit against payroll tax liability, which will improve small, pre-revenue companies’ access to the tax credit.

“In addition, we appreciate the extension of credits that support the development of advanced biofuels and biorefineries. The advanced biofuel sector is creating thousands of new jobs and generating economic growth opportunities, while producing cleaner renewable fuels. We will continue to work with Congress members and Senators to encourage recognition of renewable chemicals in the tax code. Parity in tax policy for all applications of industrial biotechnology would help the biorefining sector grow and generate new jobs.”