[Congressional Record Volume 151, Number 131 (Monday, October 17, 2005)]
[Senate]
[Page S11414]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
R&D TAX CREDIT
Mr. BURNS. Mr. President, because I support innovation and continued
economic growth, I am pleased to announce my cosponsorship of S. 627,
the Investment in America Act of 2005 sponsored by my colleague Senator
Hatch.
With a permanent R&D tax credit, companies will no longer have to
worry about the potential for expiration and may more accurately gauge
long-term investment for research and development. Certainty to the
market will help provide much-needed stability and assist U.S.
companies in overseas competition. This permanent tax credit will allow
companies the flexibility they want, and gives them the time needed to
develop new and innovative ideas.
In global terms, it is extremely important that the United States
remains a leader in a variety of sectors, from technology to
manufacturing. Countries such as France, Japan, Australia, Pakistan,
Spain, India, Indonesia, the Netherlands, Portugal, Singapore, United
Kingdom, and Canada all have permanent R&D credits. If we want to stay
competitive, we must put our country on at least equal footing to that
of our foreign competitors.
In Montana, over 100 companies engage in research and development and
stand to benefit from the R&D tax credit. When Steve Lethert,
controller of Wood's Powr-Grip Company from Laurel, MT, visited my
office, he expressed that a permanent tax incentive is vital to his
company's growth. This bill will not only help the United States
economy at large but will benefit those in the Big Sky State.
In March 2004 when Senator Hatch proposed to extend the credit for 18
months during debate of the Jumpstart Our Business Strength, JOBS, Act
of 2004. I was pleased to support that measure, and hope that the
Senate will soon provide permanency to such an advantageous tool for
our businesses.
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