Press Room

Governor Hickenlooper signs bill by Senator Newell to support start-up companies and create jobs

Monday, May 23 2011

"Job creation continues to be our number one priority."

DENVER— Today, Governor John Hickenlooper signed a bill into law which extends the Colorado Innovation and Investment Tax Credit. House Bill 1045, sponsored by Senator Linda Newell (D-Littleton) and Representative John Kefalas (D-Fort Collins) is a piece of the economic development agenda the legislature pursued in the 2011 legislative session.

Senator Newell offered the following comment on the signing of House Bill 1045:

"Job creation continues to be our number one priority. Small businesses and start-up companies are a major pillar of Colorado’s economy. This program has proven to be an effective way to stimulate growth and leverage private investment dollars which translates into high-paying Colorado jobs.  Extending the program will continue Colorado’s economic recovery and sustain our long term prosperity via angel investors interested in our innovative technology."

House Bill 1045 continues the pilot program that provides angel investors with a tax credit for investing in entrepreneurial ideas or incubators involving innovative technology like bioscience, clean tech or IT/software innovations. The Colorado Innovation and Investment Tax Credit (CIITC) was created in 2009. It was created to encourage, promote, and stimulate investments in new, small Colorado businesses primarily involved in research & development or manufacturing of new technologies, products, or processes.  

The CIITC provides investors a state income tax credit of 15% (not to exceed $20,000) within a calendar year.  The primary goal of the program is to motivate private investment in start-up companies by providing capital to early-stage companies. The CIITC is administered by the Colorado Office of Economic Development.