A new report from Ernst & Young illustrates the economic impact of three tax proposals intended to help small businesses spur innovative research and development.
The report indicates that the three tax revisions, if enacted together, could drive up research and development investments by more than $20 billion and create an estimated 623,000 new jobs at new and small firms.
The report outlines the potential impact of the three proposals, which include:
- The R&D partnership structures proposal reforming Section 469 would increase investment by an estimated $10.3 billion per year, resulting in 156,000 additional jobs at affected companies.
- The reform of Section 382 would increase investment by a total of $5.5 billion per year, resulting in 85,000 additional jobs at affected companies.
- The extension and expansion of the qualified small business stock provision in Section 1202 would increase investment by $3.6 billion, resulting in 355,000 additional jobs at affected companies.
This guest blog post from Vitae CEO Jeff Hatfield urges Congress to consider these tax proposals to propel small business innovation to help speed life-saving and life-enhancing treatments and cures to patients desperately in need.
More details on the tax proposals can be found here.
To access the full E&Y study, please visit the Coalition of Small Business Innovators web site at www.smallbusinessinnovators.org.