Factbox: Corporate alternative minimum tax threat hits pharma, tech(Reuters) - The tax overhaul legislation passed by the U.S. Senate jettisoned a long-held Republican goal of repealing the corporate alternative minimum tax (AMT), a move seen as hurting companies that invest heavily in research and development. The Senate’s inclusion of the AMT puts the bill, passed narrowly last Saturday, on a collision course with Republicans in the House of Representatives, whose version would repeal the corporate AMT. House Republicans are calling for the tax to be eliminated in final legislation to be hammered out by a House-Senate conference committee. Orrin Hatch, chairman of the tax-writing Senate Finance Committee, said on Wednesday a final tax bill that congressional Republicans hope to get to President Donald Trump for his signature by the Dec. 25 Christmas holiday likely will not retain the AMT. Here are some details on the impact of the AMT and which companies and industries invest the most in R&D. — The 20 percent corporate AMT is an alternative to the regular corporate income tax in computing taxes owed, designed to limit the benefit of deductions and tax credits, including credits for R&D that are popular with Silicon Valley. — With the top corporate rate now at 35 percent, few wind up paying the AMT. But since congressional Republicans want to cut the tax rate to 20 percent, the AMT could affect many companies.  — “Retaining the AMT in reform is even more harmful than it is in its present form,” the U.S. Chamber of Commerce business lobby group said on its website. “This cannot be the intended impact from a Congress who has worked for years to enact a more globally competitive tax code.” — Companies in the U.S. pharmaceutical and medical research industry plowed about 17 percent of total revenue into R&D in their most recent fiscal year, according to Thomson Reuters data. — The software industry and IT services invested 14 percent of revenue in R&D while technology and equipment companies invested 12 percent of their revenue in R&D. — The healthcare services and equipment sector spent 5.6 percent of its revenue on R&D in the most recent fiscal year. — Manufacturers also invest significantly in R&D, with Boeing (BA.N) investing 5 percent of its revenue in R&D last year. — “Research and development is the lifeblood of manufacturing. The NAM supports pro-growth tax reform, and is working with key policymakers to ensure the final bill does not inadvertently harm manufacturing,” said Chris Netram, vice president for tax and domestic economic policy at the National Association of Manufacturers lobby group. politicsNews
factor corporate alternative minimum tax threat hits pharma tech reuters the tax overhaul legislation passed senate jettisoned republican goal repealing corporate alternative minimum tax amt move seen hurting companies invest heavily research development the senate inclusion amt puts bill passed narrowly last saturday collision course republicans house representatives whose version would repeal corporate amt house republicans calling tax eliminated final legislation hammered conference committee train hatch chairman senate finance committee said wednesday final tax bill congressional republicans hope get president donald trump signature christmas holiday likely retain amt here details impact amt companies industries invest r d the percent corporate amt alternative regular corporate income tax computing taxes owed designed limit benefit deductions tax credits including credits r d popular silicon valley with top corporate rate percent wind paying amt but since congressional republicans want cut tax rate percent amt could affect many companies retaining amt reform even harmful present form chamber commerce business lobby group said website this intended impact congress worked years enact globally competitive tax companies pharmaceutical medical research industry slowed percent total revenue r d recent fiscal year according thomson reuters data the software industry it services invested percent revenue r d technology equipment companies invested percent revenue r d the healthcare services equipment sector spent percent revenue r d recent fiscal year manufacturers also invest significantly r d boeing investing percent revenue r d last year research development lifeblood manufacturing the nam supports tax reform working key policymakers ensure final bill inadvertently harm manufacturing said chris neutral vice president tax domestic economic policy national association manufacturers lobby group politicsnews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: Factbox: Corporate alternative minimum tax threat hits pharma, tech(Reuters) - The tax overhaul legislation passed by the U.S. Senate jettisoned a long-held Republican goal of repealing the corporate alternative minimum tax (AMT), a move seen as hurting companies that invest heavily in research and development. The Senate’s inclusion of the AMT puts the bill, passed narrowly last Saturday, on a collision course with Republicans in the House of Representatives, whose version would repeal the corporate AMT. House Republicans are calling for the tax to be eliminated in final legislation to be hammered out by a House-Senate conference committee. Orrin Hatch, chairman of the tax-writing Senate Finance Committee, said on Wednesday a final tax bill that congressional Republicans hope to get to President Donald Trump for his signature by the Dec. 25 Christmas holiday likely will not retain the AMT. Here are some details on the impact of the AMT and which companies and industries invest the most in R&D. — The 20 percent corporate AMT is an alternative to the regular corporate income tax in computing taxes owed, designed to limit the benefit of deductions and tax credits, including credits for R&D that are popular with Silicon Valley. — With the top corporate rate now at 35 percent, few wind up paying the AMT. But since congressional Republicans want to cut the tax rate to 20 percent, the AMT could affect many companies.  — “Retaining the AMT in reform is even more harmful than it is in its present form,” the U.S. Chamber of Commerce business lobby group said on its website. “This cannot be the intended impact from a Congress who has worked for years to enact a more globally competitive tax code.” — Companies in the U.S. pharmaceutical and medical research industry plowed about 17 percent of total revenue into R&D in their most recent fiscal year, according to Thomson Reuters data. — The software industry and IT services invested 14 percent of revenue in R&D while technology and equipment companies invested 12 percent of their revenue in R&D. — The healthcare services and equipment sector spent 5.6 percent of its revenue on R&D in the most recent fiscal year. — Manufacturers also invest significantly in R&D, with Boeing (BA.N) investing 5 percent of its revenue in R&D last year. — “Research and development is the lifeblood of manufacturing. The NAM supports pro-growth tax reform, and is working with key policymakers to ensure the final bill does not inadvertently harm manufacturing,” said Chris Netram, vice president for tax and domestic economic policy at the National Association of Manufacturers lobby group. politicsNews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: factor corporate alternative minimum tax threat hits pharma tech reuters the tax overhaul legislation passed senate jettisoned republican goal repealing corporate alternative minimum tax amt move seen hurting companies invest heavily research development the senate inclusion amt puts bill passed narrowly last saturday collision course republicans house representatives whose version would repeal corporate amt house republicans calling tax eliminated final legislation hammered conference committee train hatch chairman senate finance committee said wednesday final tax bill congressional republicans hope get president donald trump signature christmas holiday likely retain amt here details impact amt companies industries invest r d the percent corporate amt alternative regular corporate income tax computing taxes owed designed limit benefit deductions tax credits including credits r d popular silicon valley with top corporate rate percent wind paying amt but since congressional republicans want cut tax rate percent amt could affect many companies retaining amt reform even harmful present form chamber commerce business lobby group said website this intended impact congress worked years enact globally competitive tax companies pharmaceutical medical research industry slowed percent total revenue r d recent fiscal year according thomson reuters data the software industry it services invested percent revenue r d technology equipment companies invested percent revenue r d the healthcare services equipment sector spent percent revenue r d recent fiscal year manufacturers also invest significantly r d boeing investing percent revenue r d last year research development lifeblood manufacturing the nam supports tax reform working key policymakers ensure final bill inadvertently harm manufacturing said chris neutral vice president tax domestic economic policy national association manufacturers lobby group politicsnews