Size often matters in the corporate world.
It's bad enough that business owners worry about corporate income tax. But your company may also face alternative minimum tax (AMT) complications.
Investors in qualified "small business" stock held more than five years can exclude 50 percent of the sale's gain. But a 28 percent capital gains tax rate continues to apply to such sales—even after last year's reduction of the maximum capital gains rate to 15 percent. That means you'll earn just a 1 percent advantage—14 percent to 15 percent—for sales of small business stock.