KANSAS ANGEL INVESTORS TAX CREDIT (KAITC) PROGRAM
The KAITC Program is administered by the Kansas Department of Commerce (KDC) and designed to bring together accredited angel investors with qualified Kansas companies seeking seed and early stage investment.
The following policies for the Kansas Angel Investors Tax Credit (KAITC) Program went into effect in 2018:
- 2020 KAITC Applications may be submitted online beginning February 1, 2020 and will not be accepted after August 31, 2020.
- 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; Trust to LLC 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
- The fee schedule for 2020 is as follows:
- $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** (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
Please contact KDC staff with any questions.