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Kansas Angel Investor Tax Credit

Under the Kansas Angel Investor Tax Act, as codified at K.S.A. 74-8131 — K.S.A. 74-8137, effective January 1, 2005 as amended, an accredited investor is allowed a 50% tax credit on their cash investment of up to $50,000, per certified Kansas business per year. Additionally, for each tax year, an angel investor shall not be entitled to claim tax credits under this Act of more than $250,000.

Investors

“Angel Investor” and “Investor” mean an accredited investor who is a natural person or an owner of a permitted entity investor, who is of high net worth, as defined in 17 C.F.R. § 230.501(a) as in effect on the effective date of this act, and who seeks high returns through private investments in start-up companies and may seek active involvement in business, such as consulting and mentoring the entrepreneur.

“Permitted Entity Investor” means (A) any general partnership, limited partnership, corporation that has in effect a valid election to be taxed as an S corporation under the United States internal revenue code, or a limited liability company that has elected to be taxed as a partnership under the United States internal revenue code and (B) that was established and is operated for the sole purpose of making investments in other entities

A person who serves as an executive, officer, employee, vendor or independent contractor of the business in which an otherwise qualified cash investment is made is not an angel investor and such person shall not qualify for the issuance of tax credits for such investment.

Accredited angel investors must register as such to be eligible for the Kansas Angel Tax Credit in the Angel Investors section of this web site.

The following incentives are offered to investors for putting their capital to work in these qualified opportunity zones.

Kansas Angel Investors | To the Stars Together

2021 Qualified Businesses

2021 Qualified BusinessContactWebsite
Advisor First LLCSissy Ageehttps://www.advisorbranch.com
Attentive Science, LLCAlfred Botchway https://attentivescience.com
Carsker,IncBrad Carpanihttps://carsker.com/
Cingulate Therapeutics LLCLou Van Hornhttp://www.cingulatetherapeutics.com
Clara Biotech, Inc.James Westhttps://clarabio.tech
ConvIOT Inc.Terri Foudrayhttp://conviot.com
CorrectiveTouch LLCBraden Archerhttp://correctivetouch.com
ELIAS Animal HealthTammie Wahaushttp://eliasanimalhealth.com
Foster Family Portal LLCPaul Epphttp://fosterfamilyportal.com
InsCyt, LLCJeff Stullhttp://www.inscyt.com
Kanpecia Biotech LLCMelanie Cheunghttps://www.kanpecia.com/
Knowledge as a Service, Inc.Brent Barkleyhttps://www.ringorang.com
Lawn Buddy LLCSteven Wernerhttp://www.lawnbuddy.com
OssiFi-MabDebra Ellies http://underconstruction.com
OssiFi-ML LLCDebra Ellieshttp://underconstruction.com
Patheous Health, IncMichael Peck
PMI Rate Pro LLCNomin Smithhttp://pmiratepro.com
Precision MicrowaveAustin Pfannenstielhttp://www.precisionmicrowavemedical.com
Predict Interactive, IncBecky Heringtonhttp://www.predictinteractive.com
Project ContentLuke Luttrellhttp://www.projectcontent.com
Ronawk LLCAdam Mellotthttp://www.ronawk.com
SOFTwarfare, LLCWyatt Cobbhttps://www.softwarfare.com/
TelememoryEliot Arnoldhttp://telememory.co
TileFive, LLCAndrew Potterhttp://www.approach.app/
Wichita Esports, LLCRamsey Jamoulhttp://www.uea.gg
XRepsBrandon Fuhrhttps://www.xreps.io

2021 Kansas Angel Investors Tax Credit (KAITC) Program Rules

Application Guidelines

2021 KAITC Applications may be submitted online beginning February 1, 2021 

and may not be accepted after August 31, 2021.

Investment made to a qualified Kansas business prior to written approval of award of tax credits by KDC will NOT be eligible for tax credits

An LLC or any other permitted entity investor must provide documentation that demonstrates it was established and is operated for the sole purpose of making investments in other entities per K.S.A. 74-8132(g)

Investment through multiple permitted entities (e.g. LLC-1 to LLC-2 to qualified Kansas business) will not be allowed.

All the equity owners of the permitted entity investor must be accredited individual investors.

The qualified Kansas business must maintain its headquarters and qualifying operations in Kansas for a minimum period of ten (10) years as required by KSA 74-8136(g) and an agreement between the qualified Kansas business and KDC must be signed prior to issuance of tax credits

Nonrefundable application and registration fees per K.S.A. 74-8133(f)

Applications and tax credit certificate issuance requests will not be processed until the associated fees are received by KDC

2021 Fee Schedule

$250 application fee (companies that apply for designation as a qualified Kansas business)

$150 registration fee (investors or the transferees of investors requesting the issuance of Kansas tax credit certificates)

$50 certificate replacement fee (If requesting a certified copy of a lost Kansas tax credit certificate)KAITC program fees can be paid: online by Credit Card*, Debit Card*, or ACH**

Payments

KAITC program fees can be paid: online by Credit Card*, Debit Card*, or ACH**

(click here and select the applicable fee(s) to make an online fee payment);

or by mailing a paper check to the Kansas Department of Commerce (paper check fee payment form).

*A 2.5% service fee will be applied to online Credit and Debit Card payments (2.5% of the total charge)
**A $1.50 service fee will be applied to online ACH payments

Angels Transfer Credit Notification

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