TechNet Endorses IGNITE American Innovation Act
Washington, D.C. – TechNet President and CEO Linda Moore made the following statement regarding the introduction of the Ignite American Innovation Act by Reps. Dean Phillips (D-MN) and Jackie Walorski (R-IN) which would allow startups consisting of less than 1,500 employees to monetize tax assets that can help them weather the pandemic. Startups would now be able to monetize up to $25 million in net operating loss (NOL) carryforwards and R&D credits. This bill would also provide a tax bonus for tax assets created in the course of researching and developing solutions to diagnose, prevent, and treat COVID-19.
“Tech has powered essential services during the COVID-19 pandemic and startups are no exception to this crucial contribution to our country. Under current rules, startups are not able to access government financial assistance that can help keep their employees on payroll and ensure their business can continue to create and innovate. TechNet applauds Reps. Phillips and Walorski for creating a lifeline for startups which will help to keep them working on the solutions to our nation’s most pressing issues and providing a bonus for their work to develop solutions to the COVID-19 pandemic.”