Working Families Tax Cuts Spur Investment and Innovation

Washington, D.C.— By preventing the largest tax hike in American history and providing stability in the tax code, the Working Families Tax Cuts crafted by U.S. Senate Finance Committee Chairman Mike Crapo (R-Idaho) are helping businesses innovate and invest with confidence. Among other pro-growth tax policies, the law permanently restores full expensing for domestic research and development, empowering business owners to make investments that benefit workers and consumers alike. “Since the enactment of the Working Families Tax Cuts, private sector R&D investment has increased, business investment in equipment and facilities has accelerated and wages have risen,” said Crapo . “Restoring and making permanent these pro-growth tax policies will fuel American innovation and investment for years to come.” Key Wins: Permanent immediate deductibility for domestic R&D expenses, encouraging investment in innovation Permanent 20 percent deduction for more than 25 million small businesses The deduction is expected to create 1.2 million jobs annually and add $750 billion over the next decade to small business GDP Permanent 100 percent expensing for machinery and equipment, fueling business expansion 100 percent expensing for near-term investments in factories so more products are Made in America What they are saying: “Based on what I am seeing in my own company, and what I'm hearing from my peers on the Chamber's Small Business Council, these reforms are translating into real, practical growth. What matters most to small business owners is certainty and the ability to invest, and the consistent message I hear is that permanency and immediate expensing reduce risk and unlock investment.” – U.S. Chamber of Commerce Small Business Council member Traci Tapani “The tax and investment incentives in [the Working Families Tax Cuts] amount to the most significant economic transformation in the history of our industry, serving as rocket fuel for manufacturers. Manufacturers’ optimism is on the rise, and they are ready to keep building, investing and leading…” – National Association of Manufacturers President and CEO Jay Timmons Click HERE to learn more about how the Working Families Tax Cuts encourage cutting-edge research and development. Click HERE to learn more about the Finance Committee provisions in the Working Families Tax Cuts. ###