Bill > S455

This bill, titled the "Innovators Job Creation Act of 2015," aims to provide special treatment for the research credit for certain startup companies by amending the Internal Revenue Code of 1986. Specifically, it allows "qualified small businesses," defined as entities with less than $5 million in gross receipts for the current and preceding four tax years and not exempt from taxation, to elect to apply a portion of their research credit against their payroll taxes instead of their income tax. This "payroll tax credit portion" is capped at $250,000 per election and a total of five preceding taxable years for any single taxpayer group. The bill also allows this research credit to be used against the Alternative Minimum Tax (AMT) for eligible small businesses. These changes are intended to benefit startups by providing them with more immediate tax relief, particularly for those with limited income tax liability.