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The Equity Investment Incentive Program is a discretionary incentive and is targeted toward new, technology-based businesses that pay wages in excess of the state or county average wage. If offered, this program allows an approved business to offer an income tax credit to investors purchasing an equity investment in the business.

The income tax credits issued under this program are equal to 33 1/3% of the amount invested by an investor in an eligible business.

The income tax credit earned may be used to offset 50% of the investor's Arkansas income tax liability. Any unused credit may be carried forward for a period of nine (9) years.

The income tax credit earned may be sold upon approval by the Commission.

Source: Arkansas Economic Development Commission

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