Denver, CO, June 04, 2009 --(PR.com
)-- Colorado Governor Bill Ritter has signed HB 1035 (expanding sales and use tax for medical device companies) and HB 1105 (Angel Investment Tax Credit), ensuring Colorado’s position as a thriving location for bioscience and emerging technology companies. The announcement is made by John Collar, President and CEO of the Colorado BioScience Association (CBSA), who on behalf of the association commends Colorado Governor Bill Ritter for signing and the following legislators for sponsoring these two important pieces of legislation:
* HB 1035, sponsored by Representative Jim Riesberg (D-Greeley) and Senator Rollie Heath (D-Boulder)
* HB 1105, sponsored by Representative John Kefalas (D-Fort Collins) and Senator Mark Scheffel (R-Douglas County)
HB 1035 was signed Monday at the Greeley Chamber of Commerce CEO Forum luncheon. HB 1105, was signed Monday evening at a Town Hall Meeting and Reception held at the Council Tree Library in Fort Collins.
House Bill 1035 (expanding sales and use tax for medical device companies)
“Representative Riesberg and Senator Heath have been such strong allies in supporting the bioscience industry in the state,” said Collar. “The medical device portion of the bioscience industry in Colorado is where the most growth is occurring, and this legislation will encourage greater growth and assist these start-up companies where they need it most.”
House Bill 1035 expands upon the Biotechnology Research and Development Sales and Use Tax refund to now include the medical device and the clean technology industries in Colorado. The expanded version will encourage growth in the medical device and clean technology industry, which are both rapidly growing in the state. With this added incentive, Colorado will remain competitive with others states that understand the value of high-paying technology-based jobs.
Further, House Bill 1035 allows start-up companies in the medical device and clean tech field with 50 or fewer employees to receive refunds of state sales and use taxes related to research and development. Over the last three years the Colorado legislature has fostered the growth of the bioscience industry and by including clean technology and medical device firms to the tax incentive the state will continue to see the growth and success of these emerging technology companies.
HB 1105 (Angel Investment Tax Credit)
“From invention to commercialization, it takes a bioscience company on average 10 years and a billion dollars,” explains Collar. “It’s a risky investment, especially for seed funding. By offering some angel investors a tax incentive for early-stage funding, Colorado will not only stand apart from other states but also will see a great return from these investments. This bill will stimulate the formation of new companies, create high paying jobs, and encourage companies and investors to see Colorado as a great place to do business and locate a company.”
Encouraging the success of the high technology industries in the state will be further advanced with the signing of House Bill 1105. The bill will begin to address the lack of funding available for emerging technology companies in Colorado, including the biosciences. The legislation will also allow the Economic Development Commission of the state to incentivize Angel investors who take on high risk investments in these start-up companies with a tax subsidy.
About Colorado BioScience Association
CBSA is a not-for-profit corporation providing services and support for Colorado's growing biosciences industry. With more than 400 members, CBSA actively works to promote the growth of the industry by working for a better business environment, grow the state's biotech workforce, fight for policies that support a strong bioscience industry in the state and speak with a single voice on behalf of the industry. For more information, visit http://www.cobioscience.com.
Leah Kientz, Director of Public Policy & Programming, Colorado BioScience Association - http://www.cobioscience.com - 303-592-4088, email@example.com
Maggie Chamberlin Holben, APR, Absolutely Public Relations – http://www.absolutelypr.com - 303-984-9801, firstname.lastname@example.org