WASHINGTON, DC – The National Venture Capital Association (NVCA) today issued the following statement after Senate Republicans unveiled their draft tax reform legislation.
“Senate Republicans have taken an important first step to modernize the code with the introduction of their tax reform legislation, and we are encouraged to see the preservation of some important priorities for the entrepreneurial ecosystem,” said Bobby Franklin, President and CEO of NVCA. “However, we are concerned some aspects of the draft legislation would cause great harm to the ecosystem, including language related to non-qualified deferred compensation that would tax stock options at vesting rather than when they are exercised. We are hopeful this can be fixed, and in the coming days, we look forward to continuing our conversations with Senators to share with them our tax reform proposals to spur new company formation as well as impress upon them how important it is that they not raise taxes on investment in entrepreneurial activity.”