FWIU software jobs hiring was/is down along with the cancelling of the R&D tax credit. From "House restores immediate R&D deduction in new tax bill" (2024) ht

FWIU software jobs hiring was/is down along with the cancelling of the R&D tax credit. From "House restores immediate R&D deduction in new tax bill" (2024) https://news.ycombinator.com/item?id=39213002 https://news.ycombinator.com/item?id=39213002 .. https://news.ycombinator.com/context?id=38988189 https://news.ycombinator.com/context?id=38988189 : >> "Since amortization took effect [ in 2022 thanks to a time-triggered portion of the Trump-era Tax Cuts and Jobs Act ("TCJA" 2017) ], the growth rate of R&D spending has slowed dramatically from 6.6 percent on average over the previous five years to less than one-half of 1 percent over the last 12 months," Estes said. "The [R&D] sector is down by more than 14,000 jobs" > Hopefully R&D spending at an average of 6.6% will again translate to real growth From "Generative AI as Seniority-Biased Technological Change" https://news.ycombinator.com/item?id=45275202 https://news.ycombinator.com/item?id=45275202 : > Did tech reduce hiring after Section 174 R&D tax policy changes? [...] > From https://news.ycombinator.com/item?id=45131866 https://news.ycombinator.com/item?id=45131866 : >> In 2017 Trump made businesses have to amortize these [R&D] expenses over 5 years instead of deducting them, starting in 2022 (it is common for an administration to write laws that will only have a negative effect after they're gone). This move wrecked the R&D tax credit. Many US businesses stopped claiming R&D tax credits entirely as a result. Others had surprise tax bills > People just want the same R&D tax incentives back: > "Tell HN: Help restore the tax deduction for software dev in the US (Section 174)" (2025 (2439 points)) https://news.ycombinator.com/item?id=44226145 https://news.ycombinator.com/item?id=44226145 It is suspected that hiring levels correlate with the cancelling of the R&D Tax credit. The TCJA (2017 Trump) cancelled the R&D tax credit. The OBBA (2025 Trump) restored the R&D tax credit for tax year 2025.