WASHINGTON (August 1, 2024) — The American Chemistry Council (ACC) issued the following statement anticipating the scheduled procedural vote in the Senate on legislation that includes business tax credit provisions supported by ACC.
“ACC supports business tax provisions that would restore immediate expensing of domestic R&D expenses, end a strict limitation on interest deductibility, and return to full expensing for capital investments.
“Historically, businesses have been able to fully expense R&D costs in the year incurred. Requiring businesses to amortize these costs increases outlays, disrupts cash flow, deters job creation, and discourages domestic R&D activity.
“The phase-out of full expensing for the purchase of some machinery and equipment eliminates a vital mechanism for companies to invest in their businesses, stay competitive, and fuel the U.S. economy.
“Limitations on interest deductibility increase financing costs when companies are already struggling with higher interest rates.”
