Last week, Wisconsin Gov. Tony Evers signed Senate Bill 482/Assembly Bill 494 into law, delivering a bipartisan measure aimed at strengthening the state’s competitiveness for manufacturing. The AEM Advocacy Team was invited to attend the bill signing, which marked the culmination of months of advocacy by equipment manufacturers and other job creators, who argued that modernizing Wisconsin’s research and development (R&D) incentives is essential to sustained investment, innovation, and high-skill employment across the state. According to AEM’s latest economic impact report Wisconsin supports the third-highest number of equipment manufacturing jobs in the country.
The bills, now titled the 2025 Wisconsin Act 220, extend the carryforward period for Wisconsin’s research and development (R&D) tax credit from 15 years to 50 years. Previously, many manufacturers were unable to use the full value of the credit because tax liability can vary significantly from year to year. When credits expire unused, state law requires companies to write off their value under generally accepted accounting principles, resulting in losses reflected on public financial statements. By expanding the carryforward period, the new law allows companies more time to apply earned credits against future tax liability, helping ensure that the incentive functions as intended.
AEM previously testified in support of Senate Bill 482 and Assembly Bill 494, emphasizing the role of R&D in strengthening Wisconsin’s workforce, supply chains, and overall competitiveness. Research and development investments are closely tied to high-skill, high-wage employment and are an increasingly important factor in site selection and expansion decisions, giving companies greater flexibility and certainty when making multi-year investments.
For AEM, attending the bill signing with Gov. Evers was a signal of continued collaboration on policies that keep Wisconsin a destination for innovation. As global competition for advanced manufacturing projects intensifies, measures like Wisconsin’s new R&D law –which is focused on certainty, long-term investment, and job creation – are critical to ensuring that Wisconsin remains a leader in manufacturing.
