TO THE MEMBERS OF THE U.S. HOUSE OF REPRESENTATIVES:
The U.S. Chamber of Commerce, the world’s largest business federation representing the
interests of more than three million businesses of all sizes, sectors, and regions, as well as
state and local chambers and industry associations, and dedicated to promoting, protecting,
and defending America’s free enterprise system, supports H.R. 4438, the “American Research
and Competitiveness Act of 2014,” which would bring more certainty to the tax code by
providing for a permanent research and development (R&D) incentive.
The Chamber has long called for more robust and permanent R&D incentives. R&D
plays an essential role in almost every facet of the United States economy; it is vital that
Congress incentivize R&D investment within American borders to increase American global
competitiveness in attracting capital investment and to create American jobs.
While the Chamber has long called for permanent and expanded R&D incentives,
piecemeal reforms to the broken tax code are not a substitute for comprehensive tax reform that
lowers rates, reduces the cost of capital, provides a more internationally competitive system,
increases certainty, and decreases complexity. The Chamber looks forward to continuing to
work with Congress to achieve much needed comprehensive tax reform.
As work continues towards comprehensive tax reform, businesses should not face
short-term harm because of their reliance on provisions that, while temporary, have been extended
repeatedly such that taxpayers have reasonably made long-term business plans around an
expectation of another extension. The extension of expired and expiring provisions would foster
more effective business decisions and help spur capital investment and job creation.
The Chamber applauds H.R. 4438, the “American Research and Competitiveness Act of
2014.” The Chamber strongly urges you to support H.R. 4438 and may consider votes on,
or in relation to, this bill in our annual How They Voted scorecard. The Chamber also urges
quick action on other expired and expiring tax provisions and looks forward to continuing work
towards comprehensive tax reform.
R. Bruce Josten