ANGEL INVESTOR TAX CREDIT PROGRAM

Open in new Tab ANGEL INVESTOR TAX CREDIT PROGRAM Please note that we have recently migrated to a new application system. If you are a new user to this system, you will need to create a new login the first time you use it. Information from the old system does not carry over. Investors receive a refundable tax credit based on the qualified investment in a New Jersey emerging technology business for the purposes of stimulating investment. The total amount of Angel Investor Tax Credit awards that can be approved annually is  a maximum cumulative total of $25 million in any calendar year .  Additionally,  the value of any unused tax credits from the Technology Business Tax Certificate Transfer (NOL) Program shall be added to increase this maximum cumulative total annually . ​ AMOUNT 35% of the qualified investment made in a NJ emerging technology business, with potential increase to 40% if the business is certified M/WBE or located in an Opportunity Zone or New Markets Tax Credit Census Tract. BENEFITS Credits against corporation business or gross income taxes ______________ Stimulates investment in NJ emerging technology businesses. ELIGIBILITY NJ emerging technology business must employ fewer than 150 employees, at least 75% of whom work in New Jersey. ______________ See more detailed eligibility criteria below All investors that invest in a qualifying NJ emerging technology business may benefit from a tax credit through the Angel Investor Tax Credit Program. APPLICATION PROGRAM DETAILS ELIGIBILITY FEES MORE INFO APPLICATION Applicants have  six months  from date of investment to submit an Angel Tax Credit application to the New Jersey Economic Development Authority. No exceptions can be made. Please note that this is a dual application consisting of an investor section and a section for the technology company representative to complete. An application is not considered submitted until  both  the investor and technology company representative have completed and submitted their respective sections, including payment of the non-refundable application fee by the investor. Investors are responsible for completing their portion  and  also following up with the technology business representative to ensure the company portion is completed and submitted prior to the deadline. Online Application Link Please note that you will be required to upload certain documentation of your transaction in the application system. If you encounter any issues uploading files, please email [email protected]  for alternative methods to provide required documentation to the NJEDA. All applicants  (including out-of-state and overseas investors) must file a NJ tax return for the tax year for which their application is approved, even if they have no other tax nexus to NJ. The tax year is determined based on date of application, not investment or approval. Additional instructions will be provided after approval of your application. PROGRAM DETAILS Through calendar year 2020, the Authority may approve up to $25 million of Angel Investor Tax Credit annually. Starting in calendar year 2021, up to $35 million of Angel Investor Tax Credit may be approved per calendar year. The total amount of Angel Investor Tax Credit awards that can be approved annually is  a maximum cumulative total of $25 million in any calendar year .  Additionally,  the value of any unused tax credits from the Technology Business Tax Certificate Transfer (NOL) Program shall be added to increase this maximum cumulative total annually . ​ ELIGIBILITY Employs fewer than 150 full-time employees, at least 75% of whom work in New Jersey The company must have at least one employee that meets the definition of “full‐time employee” in order to be eligible for the program. Does business, employs or owns capital or property, or maintains an office in New Jersey Conducts at least one of the following activities in New Jersey: