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Inventors relieved as US litigation finance tax hits Senate parliamentarian snag

By Nick Robertson ( June 30, 2025, 23:06 GMT | Insight) -- An obscure section of the “Big, Beautiful Bill” that had small inventors in crisis is expected to be removed from the legislation today after a ruling by the Senate parliamentarian. A provision that would have placed a 32 percent tax on profits from third-party litigation funding could have effectively ended the industry’s work in the patent space, critics warned.US Senate Parliamentarian Elizabeth MacDonough delivered a gift to the litigation funding industry and small inventors late Monday, ruling that a tax policy change proposed by North Carolina Republican Senator Thom Tillis does not comply with strict Senate rules over what measures can be included in a 50-vote reconciliation package....

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