On behalf of our 20,000 member companies, the New Jersey Business and Industry Association (NJBIA) strongly supports A-3631, sponsored by Assembywomen Quijano and Vainieri Huttle and Assemblymen Schaer and Zwicker and S-158 sponsored by Senators Madden and Cruz-Perez. This legislation permits holding companies of eligible New Jersey emerging technology companies to receive investments under the “New Jersey Angel Investor Tax Credit Act.” We urge you to vote “yes” when the bill comes before the Assembly Commerce and Economic Development Committee on October 6, 2016.
The bill will extend eligibility for the existing Angel Investor tax credit taken on the corporate business tax to the holding companies of qualified New Jersey emerging technology companies. Currently, investors must provide funding directly to the subsidiary in order to obtain the tax credit.
Additionally, the bill will allow owners of S corporations that make qualifying investments in small high-tech companies to claim the Angel Investor tax credit on their personal income tax returns.
This legislation will help provide high-tech startups easier access to the capital needed to bring innovative products to the marketplace. These small and emerging technology companies whose innovative ideas and products help drive New Jersey’s high-tech economy will have easier access to the capital needed to grow and create jobs.
Once again, NJBIA strongly supports A-3631/S-158, and we urge you to vote “yes” when the bill comes before the Assembly Commerce and Economic Development Committee on October 6, 2016. Should you have any questions or need further information, please contact me at 609-858-9512.
TO: Members of the Assembly Commerce and Economic Development Committee
FR: Andrew Musick, Director, Taxation & Economic Development
DATE: October 6, 2016