The House passed a bill that would offers tax credits to angel investors, the people who invest in startups in their earliest stages. The measures authorize tax credits for 50 percent of an angel investor’s investment and are intended to increase the amount of angel capital for startup businesses.
The program, similar to one in Kansas, is expected to cost the state up to $6 million a year in revenue. The bill is backed by the Missouri Chamber of Commerce and Industry, Kansas City Mayor Sly James and the Economic Development Corporation of Kansas City.
Sen. Jolie Justus, D-Kansas City, who introduced one angel investor tax credit bill, said the state needs a more “diverse portfolio of tax credits.”