R&D credit welcomed by tech sector, but rift with Obama remains

In a new economic push, the White House has proposed to make permanent, expand and simplify a lapsed R&D tax credit that tech companies have long lobbied for.

The benefit will "go to companies for all the research and development they do right here in America," President Obama said in an address Sept 8. Technology companies are welcoming the measure after recoiling at policy after policy from Washington this year. Tech firms have lamented delays on crucial free trade agreements and argued that burdensome corporate tax rates make American companies want to move their factories elsewhere. The sector has also been disappointed by high-tech immigration proposals, which leaders say could make it harder for companies to bring the best talent to their labs.