Friday, June 25, 2010
© Copyright 2014
Gwinnett Daily Post
DULUTH -- Officials hope a new tax credit will help keep entrepreneurs in Gwinnett.
State Rep. Chuck Martin, R-Alpharetta, and others explained the new angel tax credit legislation, which was signed into law earlier this month, to a crowd of economic development and business leaders at the Gwinnett Chamber of Commerce on Friday.
Investors who give money to qualified small startup companies can receive an individual income tax credit of 35 percent of the amount given, up to $50,000.
"This is about jobs, helping companies grow," said Tino Mantella, president of the Technology Association of Georgia, which helped author the legislation.
The credit begins in 2011, although people will not reap the benefits until two years later.
Martin said the idea, which is in place in nearly two dozen other states, had enough merit to get attention from legislators at a time when a budget crisis makes any tax decision critical.
"A dollar is important," he said. "We thought this was the right (credit) to create jobs in Georgia."
As a requirement to get the credit, companies must stay in Georgia for two years, but officials said the credit encourages local people to invest in companies and in turn companies generally stick close to the investors.
"This is about jobs," Mantella said. "This is about supporting entrepreneurs."