Angel Investor Tax Credit Program Injects $125 Million in New Jersey Emerging Tech Companies
More than $51 Million Invested in 2015
TRENTON (February 9, 2016) – Over $125 million has been invested in New Jersey-based emerging technology and biotechnology businesses through the Angel Investor Tax Credit Program since its inception in 2013. Administered by the New Jersey Economic Development Authority (EDA) in consultation with the New Jersey Division of Taxation, the program approved 213 investments in 2015, representing the injection of more than $51 million of private capital into two dozen companies.
“We continue to hear from entrepreneurs and investors alike how vital the Angel Investor Tax Credit Program is to growing technology and biotechnology companies around the state,” EDA Chief Executive Officer Melissa Orsen said. “New Jersey has one of the most competitive programs in the nation and the results to date show that it is helping us attract private capital from across the globe.”
Orsen noted that investors have come from 18 states including, New York, Massachusetts, Connecticut, Maryland and California; and, from six countries, including China, Australia, and Hong Kong.
In 2015, Angel Investor Tax Credit investments of more than $51 million were approved for 28 companies in New Jersey’s technology, clean technology and biotechnology sectors. These include Bedminster-based technology startup STOPit, which creates software to enable smartphone users to report incidents of bullying; telecommunications provider D3 Unified Communications, located in Newark; and Monmouth Junction biotechnology business Taxis Pharmaceuticals, which seeks to discover and develop pharmaceuticals targeting multidrug-resistant bacterial infections.
The program offers a 10 percent refundable tax credit against New Jersey corporation business or gross income tax for qualified investments in an emerging technology business with a physical presence in New Jersey and that conducts research, manufacturing, or technology commercialization in the state. The program is available to all eligible taxpayers, including out-of-state investors.
The 2015 results of the Angel Investor Tax Credit Program were presented at the EDA’s monthly board meeting in Trenton. EDA Board meetings are typically held at 10 a.m. on the second Tuesday of each month at 36 West State Street in Trenton.
The EDA is part of the state’s results-driven Partnership for Action. Created by Governor Christie and led by Lt. Governor Guadagno, the Partnership is the hub for all economic development activity in New Jersey and is comprised of four interconnected and highly focused organizational elements: Choose New Jersey, the Business Action Center, the Office of the Secretary of Higher Education and the EDA.
To learn more about opportunities for business growth throughout New Jersey, visit the state’s business portal at www.NewJerseyBusiness.gov or call the Business Action Center at (866) 534-7789.