The Kansas Angel Investor Tax Credit (KAITC) program is designed to bring together accredited angel investors with qualified Kansas companies seeking seed funding and early-stage investment. KAITC grants tax credits against the Kansas personal income tax liability of investors in these start-up ventures.
To be considered a qualified business through KAITC, the business must be approved by the Kansas Secretary of Commerce prior to the date on which the cash investment is made. To qualify, the following criteria must be met.
The following information will be required when submitting your application.
Accredited investors seeking high returns through private investments in start-up companies are allowed up to a 50% tax credit on their cash investment up to $50,000 per KAITC company in which they invest. The maximum credit per qualified investor is $250,000 a year. Accredited investors are defined by Kansas statute as:
For businesses seeking financing: Applications are accepted from the first week of February through the last Friday in August each year.
For individuals seeking to invest: Applications open the first Monday in January through December 1.