1. Short title This Act may be cited as the Research and Experimentation Advances Competitiveness at Home Act or as the REACH Act . 2. Increase of alternative simplified credit (a) In general Subparagraph (A) of section 41(c)(5) of the Internal Revenue Code of 1986 is amended by striking 14 percent (12 percent in the case of taxable years ending before January 1, 2009) and inserting 20 percent . (b) Conforming amendment Clause (ii) of section 41(c)(5)(B) of the Internal Revenue Code of 1986 is amended by striking 6 percent and inserting 10 percent . (c) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2016. 3. Allocation of research expenses among business components (a) In general Subparagraph (A) of section 41(d)(2) of the Internal Revenue Code of 1986 is amended by inserting , and may be applied using a method that relies on reasonable estimation techniques in lieu of contemporaneous accounting to measure employee hours per business component before the period. (b) Effective date The amendment made by this section shall apply to taxable years beginning after December 31, 2016. 4. Inclusion of qualified upper-level employees in research expense calculation (a) In general Clause (ii) of section 41(b)(2)(B) of the Internal Revenue Code of 1986 is amended by inserting , without regard to the employee's position or management level before the period. (b) Effective date The amendment made by this section shall apply to taxable years beginning after December 31, 2016. 5. Repeal of exclusion of adaptive research (a) In general Paragraph (4) of section 41(d) of the Internal Revenue Code of 1986 is amended by striking subparagraph (B) and by redesignating subparagraphs (C), (D), (E), (F), (G), and (H) as subparagraphs (B), (C), (D), (E), (F), and (G), respectively. (b) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2016. 6. Inclusion of cost reduction research (a) In general Subparagraph (A) of