On Friday, March 25, Maine State Chamber staff testified before the Government Oversight Committee (GOC) in support of the State’s Research Expense Tax Credit and its overall importance to Maine businesses. The GOC held a public hearing on a report completed by the Office of Program Evaluation and Government Accountability (OPEGA) on the Research Expense Tax Credit. This report is part of OPEGA’s tax expenditure review process.
Linda Caprara testified that research and development (R&D) play a significant role in maintaining that competitive edge for businesses in the global marketplace, are an important driver for economic growth, and are essential for developing new products and improving existing products. The importance of R&D cannot be understated, she said. Caprara went on to cite Maine’s own 10-year strategic plan and its promotion of innovation as one of the strategies the state needs to focus on to grow Maine’s economy. The plan cites the need to partner with the private sector to increase R&D investment in Maine through tax incentives, higher education investments, etc.
Caprara went on to note in her testimony that the Maine State Chamber agrees with the report’s recommendation that the design of the credit be amended so that it is easier for beneficiaries to access it, particularly with respect to supporting ongoing and consistent R&D. In addition, she said the Maine State Chamber would like to be involved, if possible, during the proposed stakeholder process with Maine Revenue Services and the Maine Department of Economic and Community Development to look at how the credit could be improved.
If you have any questions, please contact Linda Caprara, senior government relations specialist, by calling (207) 623-4568, ext. 106, or by emailing email@example.com.