WASHINGTON, D.C. – Americans in all 50 states will lose jobs and wages if Congress doesn’t restore full research and development (R&D) expensing included in the bipartisan Tax Relief for American Families and Workers Act, according to a new independent analysis. Failure to extend this key provision of the 2017 tax reform law could shutter businesses and dry local economies across the country. For America, a loss of R&D jobs would put U.S. companies and workers at a major disadvantage against Chinese companies that benefit from a R&D 200 percent “super deduction.”
In addition to restoring immediate R&D expensing, the Tax Relief for American Families and Workers Act includes additional provisions that lock in $600 billion worth of pro-growth incentives. Restoring interest deductibility would generate 867,000 jobs and boost take-home pay by $58 billion. 100 percent expensing will attract $400 billion in new investment to American communities, creating new jobs in those places. Failing to extend these key provisions would have a damaging impact on American jobs, wages, and economic growth, as families and businesses are struggling to stay afloat in today’s economy.
Click here for a state-by-state breakdown of lost jobs if Congress doesn’t pass the Tax Relief for American Families and Workers Act.
Ways and Means Committee Chairman Jason Smith (MO-08) released the following statement:
“Our tax deal is pro-growth, pro-jobs, and pro-America. There is not a single state or community across the country that won’t suffer if Congress fails to act and provide immediate tax relief for small businesses. Not only will restoring and extending full R&D expensing create jobs, but it will help level the playing field allowing American workers and businesses to compete and win against China. America must continue to be an innovation leader, creating more jobs and opportunities in more places for more Americans.”
READ: Over 22,000 Small Businesses and 250 Trade Associations Agree: Bipartisan Tax Package Protects Jobs and Locks In $600 Billion of Pro-Growth Tax BenefitsREAD:What They Are Saying: Tax Relief for American Families and Workers Act Continues Pro-Growth Record of GOP Tax Reform