Tax Credit for Reshoring Critical Supply Chains (Medicine, Chips)
This law establishes a major 40% tax credit for companies that invest in building new manufacturing facilities for critical goods, such as pharmaceuticals, medical devices, and semiconductors, in U.S. territories like Puerto Rico. The goal is to strengthen the domestic supply chain, ensuring stable access to essential products and reducing reliance on foreign nations. Companies can receive this credit as a direct cash payment, making the incentive highly valuable.
Key points
Provides a 40% tax credit for investments in new factories producing essential items like drugs, medical equipment, and semiconductors.
The incentive applies specifically to facilities located in U.S. possessions to boost local economies and supply security.
Companies can choose to receive the credit as a direct cash payment instead of just a tax reduction, making the incentive highly valuable.
Increases the tax credit for taxes paid to U.S. possessions from 80% to 100%, further encouraging manufacturing relocation.
Status:
Introduced
Civic Will
Why does your vote on bills matter?
It creates raw, undeniable proof. Civic Will provides the permanent data to verify the Government's loyalty towards its citizens
(explained here).
Start recording it now.