SB 882

This bill allows the angel investment tax credit to be sold or otherwise

transferred to another taxpayer.

Under current law, the angel investment tax credit offsets the individual

income tax and equals 25 percent of the claimant's eligible investment in a qualified

new business venture that is certified by the Wisconsin Economic Development

Corporation. The credit may not be sold or otherwise transferred. The credit is part

of the early stage business investment program, along with the early stage seed

investment tax credit. Unlike the angel investment tax credit, the early stage seed

investment tax credit may be sold or otherwise transferred.

Under the bill, a person eligible to claim the angel investment tax credit may

sell or otherwise transfer the credit to another person who is subject to Wisconsin

individual income tax if the person notifies WEDC and the Department of Revenue

of the transfer and submits a copy of the transfer documents. The bill provides that,

as with the early stage seed investment tax credit under current law, a person may

not sell or otherwise transfer a credit more than once in a 12-month period and

WEDC may charge a fee of up to 5 percent of the credit amount. The bill also specifies

that a person may not sell or otherwise transfer an

individual

credit more than once

in a 12-month period.