Kentucky's Angel Investment Act applications will open on Monday, January 4, 2021 at 9 a.m. EST in Frankfort, KY. The Act authorizes a tax credit program through which qualified investors can receive an individual income tax credit of 25-40% of their investment depending on the county of the investment.
The Kentucky Cabinet for Economic Development announced it will begin accepting Angel Investment Act applications on Monday, January 4, 2021 at 9 a.m. EST in Frankfort. The Act authorizes a tax credit program through which qualified investors can receive an individual income tax credit of 25-40% of their investment depending on the county of the investment.
There are three applications: one for small businesses, one for investors, and one for qualified investments. Small businesses and investors must apply and request certification from the Kentucky Economic Development Finance Authority in order to participate in the program and receive a credit.
The purpose of the Kentucky Angel Investment Tax Credit program is to encourage qualified individual investors to make capital investments in Kentucky small businesses, create additional jobs, and promote the development of new products and technologies.
The qualified small business must be engaged in one of the following:
- Bioscience
- Environmental and energy technology
- Health and human development
- Information technology and communications
- Materials science and advanced manufacturing
- Other new economy knowledge-based activity