Key provisions in the US budget bill under Senate consideration aim to reshape biopharma innovation and pricing. The package proposes reforms to the Inflation Reduction Act's orphan drug exemptions to facilitate development across multiple rare diseases, immediate tax deductions for R&D expenses to support innovation investment, and avoids cuts to the Orphan Drug Tax Credit. These changes balance incentivizing research while improving patient affordability, marking a pivotal legislative moment for the biotech sector.