135.408. Qualified investment in a small business, requirements--to be eligible for tax credit--required purposes for investments.

Qualified investment in a small business, requirements--to beeligible for tax credit--required purposes for investments.

135.408. A qualified investment in a Missouri smallbusiness may be made either through an unsecured loan or thepurchase of equity or unsecured debt securities of such business.Investors in a small business qualifying for tax credits underthe provisions of sections 135.400 to 135.430, however, mustcollectively own less than fifty percent of a business aftertheir investments are made. Qualified investments in a Missourismall business must be expended for capital improvements, plant,equipment, research and development, or working capital for thebusiness or such business activity as may be approved by thedepartment.

(L. 1992 S.B. 661 & 620 § 9 subsec. 4, A.L. 1994 H.B. 1547 & 961)

CROSS REFERENCE:

Tax Credit Accountability Act of 2004, additional requirements, RSMo 135.800 to 135.830