Walz Budget Plan Includes Restoration of Angel Tax Credit Program
April 5, 2019
The Medical Alley Tech Association lauds the move, noting that the Angel Investment Tax Credit generated at least $108 million in investment in the state’s health tech industry over a five-year period.
In Governor Tim Walz’s two-year, nearly $50 billion budget plan, heavy emphasis was placed on funding education, roads, and health care. However, Walz also served up support for the startup community with a proposal to restore the state’s Angel Investment Tax Credit (AITC) program.
The tax credit was a state-sponsored rewards program for investors who take high-risk bets on technology-focused products, entrepreneurs or startups. It provided investors or investment funds with a 25-percent credit on investments up to a $125,000 maximum, or $250,000 for married joint filers.
The program debuted in Minnesota in 2010, but was eliminated in 2017 when Governor Mark Dayton at the time vetoed a large omnibus bill that contained cash for the program.