Motor vehicle suppliers drive vehicle technology innovation in the United States by making substantial investments in research and development, maintaining our nation’s competitiveness.
For decades, U.S. manufacturers could deduct all their R&D expenses in the year the investment was made. This changed in 2022, when a five-year amortization of R&D was instituted, making R&D significantly more expensive to conduct.
MEMA urges Congress to co-sponsor and pass legislation that reinstates the first full year deductibility of R&D expenses.
Contact Bill Frymoyer, Vice President, Public Policy for more information.