Bloomberg, “Treasury Department Supports Permanent Research Tax Break Even in Overhaul,” reporting on Treasury’s support for a more robust, permanent R&D Tax Credit as part of a revamped tax code.
Michael Mundaca, assistant Treasury secretary for tax policy, said that the economic benefits and high-wage jobs generated by the research credit make it worth preserving, even in a tax system with fewer targeted tax incentives.
“In a reformed system, you’d still want some incentives to be provided for research activity, and we think this is a good incentive to provide,” Mark Mazur, the department’s chief tax economist, said at a briefing with reporters in Washington yesterday.
The briefing accompanied the advance release of a new report, as reported by Reuters, “Obama tax credit will support 1 mln workers-report.”
Treasury Secretary Geithner will highlight the jobs connection when he visits a high-tech manufacturer in Northwest Arkansas today. From ArkansasBusiness.com, “NanoMech Ready for Appointment with Geithner“:
NanoMech Inc. chairman and CEO Jim Phillips grasps firmly the significance of U.S. Treasury Secretary Tim Geithner’s Friday visit to northwest Arkansas.
“He could’ve gone to the Silicon Valley, he could’ve gone to the Research Triangle,” Phillips said Thursday morning, “but he’s coming here.”
Geithner’s visit is multi-pronged. He will meet with a group of regional business leaders at the Arkansas World Trade Center and also is expected to address the release of a report detailing the economic benefits of President Obama’s Fiscal Year 2012 Budget proposal to enhance the Research & Experimentation tax credit.
NanoMech anticipates Secretary Geithner’s visit in a news release, “U.S. Treasury Secretary Timothy Geithner Makes Historic Visit to NanoMech Plant in Springdale.”