A part of the Small Business Jobs Act that
President Obama signed recently relates to investments made between September
27 and December 31, 2010. Gains on such investments, if they qualify,
will not be taxed at the federal level. This law is meant to serve as an
incentive for private investments into small businesses, and may apply to
investments made by angels and other investors. One caveat: such
investment must be kept for more than five years, which may be in conflict with
the exit strategy of some investors.
A blog describing this new law is found here:
Read more commentary from
Arina Shulga on the legal aspects of operating new and growing businesses at Business Law Post.