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Tax credit for Angel Investments?

Ted Graham General

I wrote about a proposed change in the accredited investor definition a few days ago.  From talking with Steve Murchie at the Keiretsu Forum, I learned that,

...there is an even more progressive measure in Congress with bi-partisan support that would give a 25% tax credit to individuals making angel investments in the year the investment is made.  This measure apparently is written with the current definition of accreditation, and actually promises to unleash a lot of capital that is now in other instruments and markets

This measure has been introduced in both houses of Congress, and appears to be progressing.  The reaction among investors appears to be generally positive, although some experts are concerned that it will lead to more bad investments.