Small Business Stock Gain Exclusion
Individuals generally may exclude from taxable income from 50% to 100% of the gain from the sale of certain small business
stock acquired after 2/18/09 and before 12/31/10. There are some limitations as follows:
· The stock must have been held for 5 years or more
· Maximum gain excluded $10 million
· A “qualified small business” is defined as a domestic C Corporation with gross assets of $50,000,000 or less
· The stock must have been acquired in exchange for money, property or as compensation for services – and be an original issue
· The business must have 80% of its assets used in an active trade or business
For more information or for a review of your specific circumstances, please call James Moore & Co. CPA’s at 352-378-1331.
Carol Villemaire, CPA | Partner
JAMES MOORE & CO., P.L.
Certified Public Accountants and Consultants