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This is many venture capital firms and many high flying startups. This would at best drastically curtail new VC funds and hammer existing ones. It's one thing
by skmurphy 2y ago
This is many venture capital firms and many high flying startups. This would at best drastically curtail new VC funds and hammer existing ones. It's one thing to price options for stock which is not publicly traded. It's another to impute income.
Reasonable men may differ but I don't think the A16Z "Little Tech agenda" overstates the impact.
- eightysixfour 2y agoMany VC firms and high flying startups are individuals with > $100m in net worth or are non corporate entities with 90+ years without a taxable event?
- skmurphy 2y agoMany successful VC firms and high flying startups are composed of individuals with a 100m net worth--especially if you impute earnings based on a stock price for equity that is not easily liquid.
- eightysixfour 2y agoSorry, I misspoke, the actual proposal from Wyden was for individuals worth more than $1b or with >$100m/annual income for more than 3 years in a row. That will hit some VCs, but I don't feel particularly bad about it. It won't hit the startups. There's about 700 people in the country that would be effected.