State Rep. Allie-Brennan Bill Would Increase R&D Investment

Press release from CT House Democrats Press:

Feb. 22, 2021

State Representative Raghib Allie-Brennan (D-Bethel) reintroduced legislation to restore the research and development (R&D) tax credit to attract entrepreneurs, foster startup business, and promote private sector investment.

Connecticut’s tax department found that state R&D tax credits produce a return on investment of 30-1. That means for every $1 of R&D tax credit, $30 is invested across Connecticut. The credit is available to businesses of all sizes, not just major corporations with research labs.

House Bill 5102 An Act Concerning The Cap On Research And Development Tax Credits, seeks to increase the amount of R&D tax credits a taxpayer may utilize in an income year.

"Restoring the R&D tax credit will encourage companies – especially small businesses and startups – to set down roots in Connecticut where they can be innovative and promote economic growth," said Rep. Allie-Brennan. "This will go a long way toward keeping Connecticut competitive and ensuring we continue to invest in our bioscience industry and cutting-edge manufacturing."

"Rep. Allie-Brennan is a strong voice at the Capitol for smart solutions that will help grow Connecticut's economy and has been the legislature's champion when it comes to restoring the research and development (R&D) tax credit," said Rep. Sean Scanlon (D-Guilford), co-chair of the Finance, Revenue and Bonding committee. "I look forward to working with him and colleagues from both sides of the aisle to move his idea forward so that we can encourage businesses to continue doing innovative work here in the state."

Duracell, Inc. conducts all of the company's research and development at its U.S. headquarters in Bethel. Dr. Steven Wicelinski, director of Duracell's product stewardship, said, "Duracell believes innovation is the key to remaining competitive in today's rapidly changing product development environment and such credits would help to generate critical good paying jobs to help keep the State of Connecticut competitive for many years to come."

Jean-Michel Boers, U.S. Country Managing Director, President and CEO at Boehringer Ingelheim said, "R&D investment is fundamental to fostering innovation in Connecticut, and now more than ever, we need to create an environment that enables life sciences to flourish and create the next medical breakthroughs. Boehringer Ingelheim applauds and supports Representative Allie-Brennan’s proposal and its potential impact on people in our community, and ultimately people around the globe." Boehringer Ingelheim is a worldwide pharmaceutical firm with facilities in Ridgefield.

This press release was produced by CT House Democrats Press. The views expressed here are the author's own.