Christie’s Angels go Tax Free – will it help NJ Entrepreneurs?
Did hanging out with Bruce and Barak change Governor Christie – or is just that it’s a gubernatorial election year? Whatever the reason, it’s good news for NJ Angel investor’s and NJ’s emerging business start-ups.
First Thursday in February, the Chris had a change of heart and signed a bill he’d vetoed only a year before– The Angel Investor Tax Credit program. Not quite “Tax free” – but this legislation does give NJ Angels a ten percent tax break on investments in qualified NJ start-ups. The tax deduction will be limited to $50,000 on any one investment and to a program total of $25 million per year.
To qualify, a start-up or company will need to have fewer than 256 employees with at least 75 % of them employed in NJ. The company must also be engaged in research, manufacture or sales in NJ in the fields of advanced computing, advanced materials, biotechnology, electronic device technology, information technology, life sciences, medical device technology, mobile communications technology, or renewable energy technology.
And the Angel cannot be a relative of any of the owners of the company being invested in.
If you, or any of the entrepreneurs, start-ups or angels you know, fit these criteria, don’t hesitate to contact us for more information. Simply call (908)-273-0700 and ask for Richard.
Oh – and what is an Angel? A rich individual who makes equity investments in seed stage ventures. Just what start-ups pray for.