Section 1202 can provide substantial federal tax benefits to eligible holders of Qualified Small Business Stock. But QSBS eligibility depends on factors including company structure, stock issuance, holding periods, business activities, and other Section 1202 requirements.
Based in Ramsey, NJ, Crowne Point Tax & Wealth Counsel serves clients nationwide, helping founders and business owners integrate QSBS planning into their company structure, equity strategy, and long-term exit planning.
Qualified Small Business Stock (QSBS) planning is the process of structuring and documenting a company’s equity, ownership, and growth strategy to preserve potential benefits under Section 1202 of the Internal Revenue Code.
Eligibility can depend on the type of corporation, the company’s gross assets when stock is issued, how the stock was acquired, the nature of the business, the holding period, and other statutory requirements.
The rules also depend on when the stock was acquired. For qualifying stock acquired after July 4, 2025, Section 1202 includes a phased exclusion beginning after three years, with 50% available after three years, 75% after four years, and 100% after five years, subject to the applicable requirements. The per-issuer dollar limitation for qualifying stock acquired after that date is generally $15 million, while the gross-asset threshold increased to $75 million.
Our QSBS planning is designed around your company’s current structure, equity history, growth plans, and potential exit timeline.
We are not a generalist accounting practice bolting QSBS onto a tax return Qsbs Tax Planning is woven into our securities, trust, and exit-planning work as a coordinated discipline
Among the top-rated firms for Qsbs Tax Planning, what distinguishes Crowne Point is dual licensing, the same adviser who models your exclusion also drafts the trust and securities documents that protect it
We design QSBS preservation into your company structure at formation or early fundraising, when the fixes are simplest and the eligibility window is widest
QSBS planning is particularly relevant for founders, investors, and business owners whose equity may qualify under Section 1202.
Founders and key executives navigating a registration statement, lockup, QSBS planning, and the personal wealth events surrounding a public offering
Companies considering Reg D, Reg A+, Reg CF, or a full S-1 path who want capital raised without compromising long-term tax posture
Closely held business owners structuring an IDGT installment sale who want QSBS exclusions preserved alongside the transaction
Multi-generational families coordinating QSBS exclusions through non-grantor trusts ahead of a liquidity event
We are candid about fit. QSBS planning works best when there is genuine eligibility and enough time to evaluate the company’s structure, equity history, and future plans.
Nik Agharkar integrates tax modelling with legal structuring in every engagement
QSBS Tax Planning sits at the intersection of our securities, trust, and exit-planning practices, not a bolt-on service
Eligibility review, trust stacking, and exit documentation come from one accountable team, not a hand-off after the sale
You work with Nik personally, not a rotating cast of associates
Fully authorised to advise clients across New Jersey on Qualified Small Business Stock Planning
Schedule a strategy session with Crowne Point Tax & Wealth Counsel to evaluate your company’s structure, equity position, and potential QSBS planning opportunities before your next financing or liquidity event.