Today, Gov. Maggie Hassan signed SB 1 into law. A signature issue for the Business and Industry Association, SB 1 increases the state’s total investment in research and development tax credits against the business profits tax from $1 million to $2 million annually. It also repeals the prospective sunset of the tax credit.
BIA President Jim Roche said the association is pleased with the outcome of SB 1 and commends the governor, prime sponsor Sen. Bob Odell (R – Lempster), co-sponsors and all legislators who voted to pass SB 1 for their support and leadership on this important pro-business, economic development issue.
“R&D results in new products, new processes, new innovations and new ideas,” Roche said. “R&D jobs require highly educated people and pay top wages. These are jobs we want more of in New Hampshire. This bill sends a message that New Hampshire continues to support R&D, advanced manufacturing and high technology companies.”
BIA was instrumental in re-establishing the tax credit in 2007 and has advocated strongly for an increase in the total amount of credits distributed based on high demand. Each year, the Department of Revenue Administration receives more requests for tax credits from companies conducting research and development work than it can distribute.
The positive economic ripple effect generated by manufacturing and high-tech companies – the primary beneficiaries of the R&D tax credit – is well documented. Advanced manufacturing and high-tech companies contribute more to the gross state product than any other sector of New Hampshire’s economy. In addition, advanced manufacturing and high technology jobs pay well. Studies show these jobs pay 75 percent more than other non-high-tech jobs.
About the BIA: The Business and Industry Association is New Hampshire’s statewide chamber of commerce and leading business advocate. The BIA represents more than 400 members in a variety of industries, including advanced manufacturing, high technology, professional services, financial services, health care, hospitality and tourism, public utilities, higher education and insurance. Member firms employ 86,000 people throughout the state and contribute $4.5 billion annually to the state’s economy. Through advocacy with state legislators and regulators, the BIA works to promote a healthy business climate and robust economic future for New Hampshire.
The BIA’s 2013 public policy priorities include: preserving the New Hampshire Advantage through support of fiscally conservative state budgets with a business-friendly regulatory and tax structure; supporting business tax policies that foster economic growth; supporting infrastructure development; supporting efforts to increase the availability and affordability of housing for working people; supporting pro-business labor rules and regulations that consider the rights and responsibilities of workers and management; supporting efforts that enhance outcomes and reduce/slow the growth of total healthcare costs for employers and the state; supporting efforts to develop New Hampshire’s future workforce; working towards mitigating the long- and short-term costs of energy; supporting efforts to reform the state’s telecommunications regulations to ensure fairness and equal competition among all service providers; and supporting environmental policies, legislation and administrative rules that balance economic development with the long-term viability of the state’s natural resources through a collaborative process. For more information about the BIA, visit http://www.biaofnh.com/.