On May 12th, Trusts & Estates Partner, Stuart Kohn will be moderating a panel discussion ABA Section of Taxation meeting in Washington D.C. The program is entitled “The Tax Exemption for Small Business Stock is Big Business” at the ABA Tax Section Meeting.
Individuals, including individual investors in venture capital funds, may be entitled under section 1202 to exclude from tax up to $10 million of their gain on sale of stock acquired at original issue from a domestic C corporation, if that C corporation’s aggregate gross assets immediately after the stock issuance did not exceed $50 million (based on tax basis), and if that corporation has carried on a qualifying active business (as defined in the Code). Additional gain may be eligible for deferral under section 1045 by rollover into other qualified small business stock. Panelists will discuss how section 1202 fits into the C corp. vs. pass-through choice-of-entity decision, and point out planning techniques for qualifying for and utilizing the section 1202 exclusion and section 1045 roll-over benefits. Moderator: Stuart J. Kohn, Levenfeld Pearlstein LLC, Chicago, IL
For more information on this meeting, please click here.