Missouri legislators are starting to file bills in advance of next year’s session, and there’s one bill that Kansas City’s young, innovation-based companies should keep an eye on.
S.B. 78—the Missouri Angel Investment Incentive Act—would create a tax credit program for investors who put money into firms approved by the Missouri Technology Corporation. Sen. Jay Wasson of Nixa has prefiled the bill.
If S.B. 78 passes, an angel investor would receive tax credits worth half of what they put into a business. An investor could receive up to $50,000 in tax credits per company per year, or $250,000 in tax credits total if he or she invests in multiple companies.
Missouri offers other incentives to businesses, including co-investment awards through the MTC’s IDEA Funds, but it doesn’t have an angel tax credit. Kansas does.
The session hasn’t even started yet, so it’s not clear how far the measure will get. The Missouri House approved an angel tax credit in 2014, but it got tangled up in language related to stem-cell research, which drew opposition from pro-life organizations.
