Research and Development (R&D) Archive
Biden Semiconductor CHIPS Act Subsidies: Analysis
March 2, 2023
No Comments
TweetShareSharePin0 Shares President Biden signed the bipartisan CHIPS and Science Act of 2022 into law in August of last year, promising $52 billion of manufacturing incentives on top of $24 billion of investment tax credits. But passing a law to authorize billions of dollars’ worth of incentives for semiconductor investment is not a guarantee to
Business R&D Investment Trends: Details & Analysis
December 14, 2022
No Comments
TweetShareSharePin0 Shares Research and development (R&D) is a crucial part of technological change, as R&D takes initial scientific discoveries and translates them into useful products that improve lives. Both the public and private sectors play important roles in R&D, but in recent years, private sector investment has become increasingly important. In 2019, businesses performed 75
R&D Expensing: Canceling R&D Amortization
December 7, 2022
No Comments
TweetShareSharePin0 Shares The tax treatment of research and development (R&D) expenses is one of the biggest issues facing Congress as the year winds down. Since the beginning of 2022, companies have had to spread deductions for R&D costs out over five years, instead of deducting them immediately. This policy, known as R&D amortization, reduces economic
Federal Tax & Budget Policy During the Lame Duck
November 22, 2022
No Comments
TweetShareSharePin0 Shares Two weeks after the 2022 midterm elections, it’s becoming clearer where tax policy may be headed for the rest of the year and into 2023. In the short term, Congress must deal with tax extenders and expiring business tax provisions that may undermine the economy. Next year, the return of divided government and
2022 Tax Extenders: Details & Analysis
November 15, 2022
No Comments
TweetShareSharePin0 Shares At the end of each year, policymakers face a series of expiring tax provisions that are typically extended on a temporary basis, setting up a recurring and almost ritualistic tax extenders season. At a time of heightened concerns about the economy, high deficits, and inflation, policymakers should prioritize stability and economic growth by
Carbon Tax Revenue Recycling: Carbon Tax Border Adjustment
November 3, 2022
No Comments
TweetShareSharePin0 Shares Key Findings Carbon leakage occurs when a climate policy in one jurisdiction leads to emissions-producing activity simply shifting to a different jurisdiction. Leakage raises both environmental concerns—as it undermines emissions reduction efforts—and economic concerns. In the aggregate, leakage is relatively small, but it could have an outsized impact on specific emissions-intensive, trade-exposed (EITE)
Comparing Corporate Tax Systems in Europe, 2022
November 1, 2022
No Comments
TweetShareSharePin0 Shares On October 17, we released the International Tax Competitiveness Index 2022, a study that measures and compares the competitiveness and neutrality of all 38 Organisation for Economic Co-operation and Development (OECD) countries’ tax systems. In the coming weeks, we will illustrate how European OECD countries rank in each of the five components of
Tax Cuts and Jobs Act Business Tax Increases: Details & Analysis
November 1, 2022
No Comments
TweetShareSharePin0 Shares Key Findings Starting in 2022 and continuing through 2026, businesses will face several tax changes scheduled as part of the Tax Cuts and Jobs Act (TCJA), including a switch to five-year amortization of R&D expenses, the gradual phaseout of 100 percent bonus depreciation, a tighter interest deduction limitation, and an increase in international
2023 State Business Tax Climate Index
October 25, 2022
No Comments
TweetShareSharePin0 Shares Launch Our Interactive Tool Executive Summary The Tax Foundation’s State Business Tax Climate Index enables business leaders, government policymakers, and taxpayers to gauge how their states’ tax systems compare. While there are many ways to show how much is collected in taxes by state governments, the Index is designed to show how well
US Competitiveness Projected to Worsen Amid Changing Tax Landscape
October 18, 2022
No Comments
TweetShareSharePin0 Shares Nearly five years ago, the Tax Cuts and Jobs Act (TCJA) brought dramatic changes to U.S. tax policy. The federal corporate tax rate fell from 35 percent to 21 percent and other reforms improved the tax treatment of business investment, lowered taxes for individuals and families, and introduced a new system for taxing
- 1
- 2
