New $5Million Tax Credit for Small BioTech Announced

[HopingSince88]

I came across this article that states "
The Treasury Department released new guidelines for applying for tax credits to fund promising new therapies, with small medical research firms eligible to receive up to $5 million each out of a $1 billion pie."

http://www.webcpa.com/news/Treasury...medium=email&utm_campaign=WebCPA_Daily_052410

 

[spindrift]

Hmm... I think WPI is exempt from taxes given they are a non profit. But maybe a company they
are working together with could make use of it.

 

[HopingSince88]

That is a good point. I had not thought of that. The Biotech credit does not directly apply to non-profits.

The Small Business Tax Credit does apply for non-profits: Nonprofits would be able to participate by taking the tax credit against their quarterly withholding payments. But apparently the gov't neglected to think about non-profits in the bio-tech credit bill. Oh well... it could be used if they spin off a for-profit company from their research. Or maybe the gov't could could revise the bill.

To qualify the company must have fewer than 250 employees, and they can elect to receive a grant rather than a tax credit. Maybe we should write our congress and senate folks, yet again!