Gray offering tax break for tech investors

D.C. Mayor Vincent Gray wants to grow the city’s fledgling tech industry by giving tax breaks to those who use their personal funds to invest in a startup. The mayor announced on Thursday that he plans to introduce legislation in April that would exempt the money these investors use for startup investments from the city’s income tax. Instead, that investment would be taxed at the 3 percent capital-gains rate.

“I am proud to announce that, through the D.C. Tech Incentives Program, residents who invest in our technology companies will be rewarded with a minimal tax burden when those businesses succeed,” Gray said in a statement. “The tech sector is playing a key role in the economic future of the District.”