AdvaMed: New Tax Bill Promotes Medical Technology Innovation

AdvaMed announced it supports the American Life Sciences Competitiveness Act of 2007, saying the bill will modernize tax laws to encourage investment in medical technology.

According to AdvaMed, the bill:

• Includes provisions to make the R&D tax credit permanent;
• Reforms the net operating loss rules; and
• Would create a medical innovation tax credit for clinical trials.

The legislation “eliminates the disincentives in the current laws that inhibit the investment in medical technology companies,” AdvaMed said. The updated tax code will particularly help smaller companies, it added.