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What is the CT EITC? The Connecticut Earned Income Tax Credit (or CT EITC) is a refundable state income tax credit for low to moderate income working individuals and families. The state credit mirrors the federal Earned Income Tax Credit.
The Angel Investor Tax Credit is: Equal to 25% of an investor's equity investment. Refundable to investors who file personal net income tax. Not refundable for investors filing corporate income tax, franchise tax, taxes on gross premiums or moneys and credits taxes.
Administered through Connecticut Innovations, this program provides qualified investors with a 25% credit against Connecticut's state income tax when they invest at least $25,000 in qualifying businesses. (See list of those business here.)
What is Angel Tax Incentive? Angel Tax Incentive is a new initiative approved by the Government to encourage more early stage investments by the private sector. This incentive hopes to reduce the risks usually associated with early stage investments by giving back in the form of tax exemption to the investors.
The Angel Investment Tax Credit is a refundable income tax credit meant to encourage investment in small businesses located primarily in Minnesota and in certain industries.
Angel investing falls into the capital gains tax bucket, so that is where it will hit the amount you have to pay to the government. If you invest in a startup, and it gets sold, and your share is worth a lot more money than you paid, you'll pay capital gains taxes on that amount.