WASHINGTON, DC— U.S. Senator Bob Casey (D-PA) today introduced the Life Sciences Jobs and Investment Act of 2010 (S.4018), legislation that will promote innovation and job creation by providing targeted tax incentives for small and mid-sized businesses to invest in life sciences research and development (R&D).
“This legislation will help U.S. businesses create jobs and maintain a competitive edge in a challenging global economy,” said Senator Casey. “Investing in life sciences research and development is critical to ensuring that Pennsylvania and the U.S. remain at the forefront of innovation and economic growth.”
The legislation doubles the existing R&D tax credit to incentivize life sciences R&D from 20% to 40% of the first $150 million businesses and innovators spend on such research. The life sciences industry is influential in laboratories at universities and companies in Pennsylvania and across the country, including biotechnology and pharmaceutical companies, medical and diagnostic laboratories and manufacturers of surgical appliances and medicines. The original R&D tax credit expired at the end of last year. Senator Casey has voted and advocated for its extension.
The legislation also allows U.S. businesses earning money abroad to return up to $150 million in earnings per year to the U.S. without additional taxation, provided they use the money to hire additional researchers, make new investments in life sciences research at U.S. universities and institutions or invest in new laboratories and related life sciences research facilities.
U.S. Representatives Allyson Schwartz (D-PA), Bill Pascrell (D-NJ), Devin Nunes (R-CA) and Kevin Brady (R-TX) introduced similar legislation in the U.S. House of Representatives earlier this year.