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by winter_blue 1830 days ago
That's not the case in the US. There is no federal tax break in the US for "R&D" as far as I'm aware. Companies can deduct all expenses from their income. So there isn't even really a need for a tax break here. All salaries, rent, operational expenses are deducted from the income.

Moreover, many US corporations are effectively encouraged by tax law to go into debt (and always operated under debt), because having a zero effective income means you pay zero taxes. So that's what many companies -- they spend a little bit (or sometime a lot) more than their revenue, and thus report a loss each year (consequently paying zero taxes).