Companies Keep Up Crusade to Revive Immediate R&D Expensing (1)

Companies and industry groups are keeping up their crusade to get research and development amortization reversed after Congress failed to pass legislation to do so last year.

Lobbyists contend that amortization, which requires companies to deduct their R&D costs over the span of five years, is harmful to business of all sizes and reduces the amount of money invested in research.

“The recent decline in private-sector R&D spending coincides with the first year in which companies can no longer immediately deduct their R&D expenses,” said Chris Netram, managing vice president of tax and domestic economic policy at the ...