2009 Senate Bill 45 (Extend Research and Development Tax Credit)

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Introduced by Sen. Bernadette M. Sanchez (D) on January 20, 2009, to move the expiration date of the research and development tax credit for small businesses from June 30, 2009 to June 30, 2013.
- Referred to the Senate Corporations and Transportation Committee on January 20, 2009.
  - Referred to the Senate Finance Committee on January 29, 2009.
- Reported in the Senate on March 3, 2009.
Passed in the Senate (35 to 0) on March 4, 2009, to move the expiration date of the research and development tax credit for small businesses from June 30, 2009 to June 30, 2013 . [Vote Details and Comments]
Received in the House on March 4, 2009.
- Referred to the House Business and Industry Committee on March 4, 2009.
- Referred to the House Taxation and Revenue Committee on March 19, 2009.
  - Reported to the House on March 21, 2009.

Most Recent Comments

1) Re: 2009 Senate Bill 45 (Extend Research and Development Tax Credit) [by Corey Davis on June 4, 2009]

Senate bill 45 would have extended a tax credit for companies engaged in "research and development" until June 30, 2013. It passed unanimously in the Senate and passed through both of its
assigned House committees, but a vote was not taken on the House floor. As the law stands, the tax credit is currently scheduled to terminate on June 30, 2009. This tax credit, which appears to be ending within the month, relieves small "research and development" businesses from gross receipts, compensating, and withholding taxes owed to the state, potentially saving businesses considerable sums of money.

Reducing taxes is always a great idea, but the criteria for businesses receiving tax credits raises some questions for me. Qualified "research and development" companies receiving this credit must be "discovering information that is technological in nature and the application of which is intended to be useful in the development of a new or improved business component," or engaged in "experimentation related to new or improved function, performance, reliability, or quality." It seems like, with some level of sophistry, one could argue that any company is engaged in these activities, but which ones are actually receiving the tax credit? And who are they connected with, if anyone? We should be reducing taxes (as well as state expenses) for everyone, not just for those engaged in these marginal activities.

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2) 2009 Senate Bill 45 (Extend Research and Development Tax Credit) [by admin on January 1, 2001]
Introduced in the Senate on January 20, 2009

The vote was 35 in favor, 0 opposed and 7 not voting

(Senate Roll Call 323 at Senate Journal 0)

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