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U.S. Senate Finance Committee Leaders to Include Semiconductor Investment Tax Credit as Part of the Draft Bipartisan Innovation Act — Orbitax Tax News & Alerts

U.S. Senate Finance Committee leaders Ron Wyden (D-OR.) and Mike Crapo (R-ID) are reportedly looking to include a tax credit for semiconductor investment as part of the draft Bipartisan Innovation Act (BIA). The BIA is the pending consolidation of similar House and Senate bills containing measures that are meant to address issues regarding U.S. technology and communications, foreign relations and national security, domestic manufacturing, education, trade, and others. Differences in the bills are currently being resolved.

The two Senators are looking to include a semiconductor manufacturing investment credit as part of the BIA, which is based on legislation the Senators cosponsored in 2021, the Facilitating American-Built Semiconductors Act. The proposed credit is equal to 25% of qualified investments in semiconductor manufacturing facilities and other semiconductor manufacturing property.