Qualified Small Business Stock ("QSBS") is a tax incentive that provides up to a 100% capital gains tax exclusion to stockholders of a qualified C Corporation, not an S Corporation. If you are a founder and were advised to structure your company as an S Corporation because … Read More
Stock in Coursera began trading with a double-digit gain after the online education company late Tuesday priced an initial public offering at the high end of the range investors had been told to expect. The stock opened for trading on March 31, 2021, at $39, up about 18% from … Read More
Congrats if you are an early employee of NYC-based unicorn startup UiPath who exercised your stock options! You could be in for some serious cash and potentially serious tax savings.
It has been reported that UiPath has confidentially filed to go public through a direct listing after raising … Read More
If you have stock options you could be in for a big surprise because the various tranches of stock options can qualify for the QSBS 100% capital gains tax exclusion depending on when the stock holding period starts, whether the company is a qualified business, and when … Read More
How do you expect the recent election to impact QSBS in the state?
After the results of the 2020 election were certified, we’ve seen QSBS investors take several potential tax law changes into account in their investment strategy. There have only been talking about the potential tax law … Read More
Qualified Small Business Stock (QSBS) is a tax incentive that I have found few are aware of and even less understand. Once you start to unpack it, you realize its importance if you spend time investing in early stage companies as it can lead to a 100% … Read More
Virginia follows the tax exclusion (100%) on capital gains from the sale of Qualified Small Business Stock (QSBS) (as per IRC Section 1202). Therefore, any capital gains that might have occurred on QSBS sales will not only be excluded from federal income taxes but also state income … Read More
The United States government has long leveraged tax incentivizes (e.g. tax credits & exemptions) in its policies to spur economic development. Tax incentives allow the government to change the behavior of individuals and companies by influencing the flow of capital; for example, incentivizing taxpayers to save money, … Read More
As a holder of qualified small business stock (QSBS) it is important to know what steps to take not only when you report the Section 1202 exclusion on your taxes but also when the QSBS is issued. QSBS for some is a hidden secret embedded within the … Read More
Most importantly not only can you provide a public benefit with your company's mission but also elect to receive the C Corporation tax exemptions as a PBC (i.e. Public Benefit Corporation) or B-Corp. PBCs and B-Corps can qualify for Section 1202 Qualified Small Business Stock (QSBS). PBCs … Read More