WASHINGTON, DC – The National Venture Capital Association (NVCA) issued the following statement after the House of Representatives passed H.R. 1, the Tax Cuts and Jobs Act.

“Throughout the process we have been championing tax reform recommendations that would encourage new company formation, and we are pleased to see some of those incorporated into the House bill,” said Bobby Franklin, President and CEO of NVCA.  “Preservation of the Qualified Small Business Stock rules and the R&D credit payroll tax offset are key to ensuring a vibrant entrepreneurial ecosystem, and we appreciate lawmakers providing relief to startup employees that are unfairly hit with a tax bill on phantom income they haven’t yet received.  As the process moves forward, we will continue to work with House and Senate lawmakers to ensure that tax reform supports the entrepreneurial ecosystem and doesn’t disrupt or discourage patient, long-term investment into innovative companies.”