What small biotechs need

BIO’s working to ensure small biotechs can access R&D tax deductions and support with grant funding—we have details on that, as well as the launch of TrueTrials. Don't miss BIO CEO Rachel King's op-ed in Fortune about why we need to support women in STEM. (461 words, 2 minutes, 18 seconds)

Small biotechs need R&D tax breaks …

Congress still has time to undo an ill-advised 2017 provision that threatens to put small biotech firms out of business.

What legislation? The 2017 Tax Cuts and Jobs Act eliminated full tax deductions for R&D costs, amortizing expenses over five years starting with tax returns for 2022. R&D spending that was once 100% deductible became only partially deductible each year.

Why it matters: Small, innovative biotechs essential to drug discovery may be unable to operate if taxed for grants or other funding, as BIO explained in a letter to Congress.

Case in point: Herb Sarnoff, founder of a startup tackling the rare disease neurofibromatosis, says his company may have to abandon its work, in a Bio.News piece co-written with Joe Panetta, CEO of Biocom California. Patients, including one of Sarnoff’s children, will lose hope of a treatment.

A solution: Legislation reintroduced in Congress earlier this year, and supported by BIO, would reinstate the deduction.

What’s next: There is still time for Congress to pass the legislation this year. BIO, Sarnoff, and Panetta urge action.

… And support with getting grants

BIO has new resources to help members navigate updated rules for obtaining funding from the Small Business Innovation Research and Small Business Technology Transfer (SBIR/STTR) programs.

The programs: SBIR/STTR support innovative enterprises with non-dilutive grants.The National Institutes of Health (NIH) runs the second-biggest SBIR/STTR program, and many BIO members have benefitted.

The problem: New regulations starting this year complicate applications.

BIO has developed resources to help—including an easy-to-follow grant application flowchart and application timeline, as well as a recent webinar with NIH officials explaining the new rules.

Read more about the application process at Bio.News.

More News: 

Fortune (Opinion): We’re on track to miss out on the next Katalin Karikó as women in STEM continue to bear the brunt of the pandemic’s lasting impact
“With the COVID-19 emergency behind us, women are returning to the workforce in droves–but those in STEM fields are still facing its professional repercussions,” writes BIO CEO Rachel King.

TrueTrials helps patients participate in clinical trials

With its official launch Tuesday, TrueTrials is ready to help people seeking cutting-edge cures enroll in clinical trials for cell-based therapies—we took a closer look in Bio.News.

What’s TrueTrials? In collaboration with the Food and Drug Administration (FDA), researchers help people find FDA-approved clinical trials involving regenerative medicine and other cell-based therapies.

Why it matters: Along with the “democratization of access to cell therapy trials” with the FDA’s guarantee of safety, TrueTrials also helps researchers recruit clinical trial participants.

Read the Bio.News interview or visit the TrueTrials site.

President Biden’s Thursday: Promoting Bidenomics in a meeting with CEOs.

What’s Happening on Capitol Hill: The House of Representatives is working to elect a new Speaker. The Senate is in recess.