WASHINGTON, D.C. — This week, Rep. Dean Phillips (D-MN) introduced a bipartisan bill in the House of Representatives to provide tax relief to startups that are ineligible for other types of business aid passed by Congress in response to the COVID-19 pandemic. Phillips’s IGNITE American Innovation Act will allow small and mid-size businesses that weren’t able to utilize the CARES Act tax provisions to monetize up to $25 million accumulated tax assets. In addition, the bill will provide a bonus in tax assets generated by research and the development of products that will prevent, diagnose, and treat COVID-19. Phillips is leading the bill with Congresswoman Jackie Walorski (R-IN).
“I’ve had the privilege of getting to know some extraordinary Minnesota innovators and entrepreneurs as a Congressman and over the course of my career in business,” said Phillips. “Smaller startups and growth companies are unique business models and have to compete against large corporate incumbents – that’s challenging under regular conditions, and even more so during this time of economic uncertainty. These businesses make up large share of new jobs, and we must do more to ensure we have an even playing field so that entrepreneurs and innovators can continue to provide opportunities for the next generation of American workers.”
Specifically, the bill would: Continue reading “As Pandemic Derails Economy, Rep. Phillips Proposes Tax Relief for Startups to Spur Innovation”