OBBB signed: Reinstates immediate expensing for U.S.-based R&D
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Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#2> Foreign R&D must still be amortized over 15 years
Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#3Actual title is "House Passes Tax Bill Sending to President for Signature – Details Inside".
Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#4> Foreign R&D must still be amortized over 15 years
Awesome, this literally could not be better for American tech workers.
Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#5Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#6Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#7Earlier quoted context omitted.
Awesome, this literally could not be better for American tech workers.
So payroll for R&D is now entirely tax deductible? Businesses get to choose to pay taxes or do R&D for themselves?
Either scenario taxes are paid - it’s just how and over what time period.
Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#8It also classifies software development as R&D which together with immediate expensing for R&D undoes the Section 174 changes as far as I understand.
“For purposes of this section, any amount paid or incurred in connection with the development of any software shall be treated as a research or experimental expenditure“
Page 303 of bill here https://www.congress.gov/119/bills/hr1/BILLS-119hr1eas.pdf
Original article about Section 174 tax code causing layoffs
https://news.ycombinator.com/item?id=44180533
Post from @dang with more info about Section 174
Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#9Re: OBBB signed: Reinstates immediate expensing for U.S.-based R&D
#10Earlier quoted context omitted.
Awesome, this literally could not be better for American tech workers.
There's also H-1B (and other worker visa) restrictions/costs imposed. Overall, quite good for the American tech worker
I don't see anything supporting this in the text of OBBB, nor in the definition of domestic research expense (https://www.irs.gov/pub/irs-regs/research_credit_basic_sec41...). Where did you see this?
Edit: Oh you mean costs in general, not in the context of section 147