The New Brunswick government’s proposed amendments to legislation will make it more attractive for individuals to invest in retail venture capital funds like GrowthWorks Atlantic Venture Fund, GrowthWorks Ltd. said Wednesday.

The proposals were included in the 2009-2010 provincial budget.

“It is a pleasure to work with a government who is forward thinking and sees the benefit of increased investment in our fund which will result in an increase in capital available for small and medium sized businesses in the province,” said Tom Hayes, president and CEO of GrowthWorks Atlantic Venture Fund.

If the amendments to legislation are passed as proposed, the following will apply to shares of venture capital funds purchased after March 17, 2009: the N.B. Retail Venture Capital (RVC) Tax Credit will increase from 15% to 20%; and the maximum investment that will be eligible for the N.B. RVC Tax Credit will double from $5,000 to $10,000.

If passed, these amendments would increase the maximum RVC Tax Credit available to investors in N.B. from $750 to $2,000 a year.

IE