Sec. 1202 qualifications.(IRC section 1202, capital gains tax exclusion)Flynn, Maura P
What can you tell us about Section 1202? By far the biggest tax benefit for US investors in early stage companies falls under IRS Tax Code Section 1202. This tax provision allows for the exclusion of up to 100% of your capital gains for your US Federal taxes. As long as you hold your...
[section] 1202, significantly rewards taxpayers by providing an exclusion of up to 50 percent of the gain on the sale of QSBS held for more than five years (I.R.C. [section] 1202(a)). The gain not excluded is taxed at the capital gains rate of 28 percent (I.R.C. [section] 1...