HB 1695 -
By Representative McIntire
On page 1, line 12, after "amount of" insert "incremental"
On page 1, line 14, strike "amounts" and insert "((amounts))
incremental qualified research and development expenditures"
On page 2, beginning on line 2, after "by" strike all material
through "1.50" on line 16 and insert the following:
"((the following:)) 5.0"
(i) For the period June 10, 2004, through December 31, 2006, the
person's average tax rate for the calendar year for which the credit is
claimed;
(ii) For the calendar year ending December 31, 2007, the greater of
the person's average tax rate for that calendar year or 0.75 percent;
(iii) For the calendar year ending December 31, 2008, the greater
of the person's average tax rate for that calendar year or 1.0 percent;
(iv) For the calendar year ending December 31, 2009, the greater of
the person's average tax rate for that calendar year or 1.25 percent;
(v) For the calendar year ending December 31, 2010, and thereafter,
1.50
On page 5, line 11, after "(b)" insert ""Incremental qualified
research and development expenditures" means the amount of qualified
research and development expenditures, or the amount received in
compensation for the same, for the current reporting period, less the
average amount expended, or received in compensation, in reporting
periods for the three prior calendar years.
(c)"
On page 5, line 21, strike "(c)" and insert "(((c))) (d)"
On page 5, line 23, strike "(d)" and insert "(((d))) (e)"
On page 5, line 27, strike "(e)" and insert "(((e))) (f)"
Correct internal references accordingly.
EFFECT: (1) Provides R&D tax credit equal to five percent of the
increase in R&D expenditures.
(2) Changes the percent amount used for the credit calculation to
5.0 percent.