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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6979 Introduced in House (IH)]

<DOC>

118th CONGRESS
  2d Session
                                H. R. 6979

To amend the Internal Revenue Code of 1986 to provide a credit to small 
businesses for research activities related to the mitigation of certain 
                             drug threats.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            January 11, 2024

   Mr. Neguse (for himself, Ms. Dean of Pennsylvania, Mr. Bacon, Mr. 
 Trone, Mr. Lawler, and Mr. Ciscomani) introduced the following bill; 
         which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL

 
To amend the Internal Revenue Code of 1986 to provide a credit to small 
businesses for research activities related to the mitigation of certain 
                             drug threats.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. CREDIT FOR RESEARCH ACTIVITIES OF SMALL BUSINESSES RELATED 
              TO THE MITIGATION OF CERTAIN DRUG THREATS.

    (a) In General.--Section 41(a) of the Internal Revenue Code of 1986 
is amended by striking ``and'' at the end of paragraph (2), by striking 
the period at the end of paragraph (3) and inserting ``, and'', and by 
adding at the end the following new paragraph:
            ``(4) in the case of a small business (as defined in 
        subsection (b)(3)(D)(iii)), 10 percent of the qualified drug 
        threat mitigation research expenses (as defined in subsection 
        (i)) for the taxable year.''.
    (b) Definitions.--Section 41 of such Code is amended by adding at 
the end the following new subsection:
    ``(i) Qualified Drug Threat Mitigation Research Expenses.--For 
purposes of this section--
            ``(1) Qualified drug threat mitigation research expenses.--
        The term `qualified drug threat mitigation research expenses' 
        means the qualified research expenses which would be determined 
        under subsection (b) if `qualified drug threat mitigation 
        research' were substituted for `qualified research' each place 
        it appears therein.
            ``(2) Qualified drug threat mitigation research.--The term 
        `qualified drug threat mitigation research' means qualified 
        research which is undertaken for the purpose of discovering 
        information related to mitigating or treating the effects of 
        the use of a specified drug or to preventing, diverting, or 
        intervening in such use. Such term shall not include any 
        clinical research unless such research complies with the 
        policies and guidelines of the National Institutes of Health 
        for clinical research.
            ``(3) Specified drug.--
                    ``(A) In general.--The term `specified drug' means 
                any emerging drug, fentanyl, fentanyl-related 
                substance, or methamphetamine.
                    ``(B) Emerging drug.--The term `emerging drug' 
                means a drug designated as an emerging drug threat 
                under section 709(c) of the Office of National Drug 
                Control Policy Reauthorization Act of 1998 (21 U.S.C. 
                1708(c)). Such term shall include any such drug for any 
                taxable year if such designation is in effect under 
                such section at any time during such taxable year.
                    ``(C) Fentanyl-related substance.--The term 
                `fentanyl-related substance' means any substance that 
                is structurally related to fentanyl by 1 or more of the 
                following modifications:
                            ``(i) By replacement of the phenyl portion 
                        of the phenethyl group by any monocycle, 
                        whether or not further substituted in or on the 
                        monocycle.
                            ``(ii) By substitution in or on the 
                        phenethyl group with alkyl, alkenyl, alkoxyl, 
                        hydroxyl, halo, haloalkyl, amino, or nitro 
                        groups.
                            ``(iii) By substitution in or on the 
                        piperidine ring with alkyl, alkenyl, alkoxyl, 
                        ester, ether, hydroxyl, halo, haloalkyl, amino, 
                        or nitro groups.
                            ``(iv) By replacement of the aniline ring 
                        with any aromatic monocycle whether or not 
                        further substituted in or on the aromatic 
                        monocycle.
                            ``(v) By replacement of the N-propionyl 
                        group with another acyl group.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
    (d) GAO Report.--During the 60-day period beginning on the date 
which 10 years after the date of the enactment of this Act, the 
Comptroller General shall submit a written report to Congress regarding 
the amount of tax credits allowed under section 41(a)(4) of the 
Internal Revenue Code of 1986 for qualified drug threat mitigation 
expenses and the types of qualified drug threat mitigation research 
with respect to which such credits were allowed. The Comptroller 
General shall ensure that the data in such report is anonymous and that 
any studies undertaken to prepare such report do not impede qualified 
drug threat mitigation research.
                                 <all>
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